Trading plan 04/02/2018

Trading plan 04/02/2018

The overall picture: We expect volatility to grow in the market.

There are several factors that can revive the market in a new week:

1. The beginning of a new month and a quarter after a long weekend. The situation in large funds was reevaluated and purchases (or, conversely, sales) of assets would follow.

2. For the new week, there are a number of important data on the US: employment reports on Wednesday and Friday (non-pharma); ISM indices on Monday and Wednesday (at 14:00 London time because of summertime in the US).

3. As before, over the markets like the sword of Damocles, the question of the beginning of the Trump trade war with China hangs whereas nothing has been canceled and concrete measures are being prepared.

Against this background, strong movements are very likely.

For GBP / USD pair:

I still think the pound is more stable against the dollar than the euro.

We buy on strong declines from the level of 1.3900.

At the same time, it is possible to purchase at the level of 1.4250 for a breakout.


The material has been provided by InstaForex Company -