Two of the biggest market movers, for every instrument we trade, will be coming up tomorrow.
Let’s take a look!
In today’s Market Outlook, let’s take a look at Forex trading on the WTI and Brent Crude Oil, the NASDAQ, Gold, XAUUSD, Silver, XAGUSD, and AUDUSD.
We were looking at AUDUSD last time, and I warned you to watch for a new trend line after the latest Australian CPI figures.
We are still buying the dip and relying on our indicators to find entry and exit points.
This USD strength is indicative of all USD pairs right now, so check your charts.
If we move out to the AUDUSD daily chart, we see that we are at a key level of resistance, so be careful here.
Also, the markets are waiting for 2 major economic events tomorrow.
If you are new to trading or you may be a bit shy of fundamental analysis, you may be wondering, “What is Davos? What is Jackson Hole?”
Well, these are huge events and market movers, and everyone is paying attention.
The World Economic Forum in Jackson Hole, Wyoming, starts today, and most global financial leaders will be making speeches, doing interviews, and issuing statements.
These will almost always drive currency markets, gold, silver, and indices like the S&P500.
The main event will be tomorrow’s speech by Kevin Warsh, the new Fed chair.
To trade these big moves, check out our recent video about the News Catalyst Fade, where we can trade WITH the trend, AFTER the news breaks.
Trading the News Catalyst Fade with ADX and the stochastic oscillator:
Also, you may have never seen this on an economic calendar: the Prelim Benchmark Payrolls Revision happens once a year as the US Bureau of Labour Statistics revises its figures.
Last year, the revision was a whopping 900,000 jobs so expect volatility.
This USD strength is showing up in gold as we see a reversal to the downside but, again, watch out for the news events.
In silver, we see a similar situation but not as aggressive.
We also see a recovery in the NASDAQ and S&P 500, but watch the news.
Crude has fallen based on better news out of Iran, but, as we know, that could change at any moment.
That’s all for now.
CFDs and FX are leveraged products, and your capital may be at risk.
