The markets do seem to be moving in a singular direction today. The theme is Risk Off. Dollar and Yen are rising against the rest of the market.
All the news wants to talk about is the debate yesterday and the upcoming elections in the United States. The more they talk, the more investors are realizing that neither of these candidates really have the answer to a staggering economy.
There is some major news coming out from Canada today. So all news traders and Looney (CAD) traders should pay close attention to the Economic Calendar.
Gold is rapidly approaching a new 2 month low established yesterday around $1713. If it falls below this level, the next likely support is around $1689 and the huge support line for now is around $1620. Long term traders should set stops below 1400 or 1500 if possible.
SP500 is approaching support at 1421. Next support at 1395 and resistance around 1600.
Crude Oil failed to close above 92.50 and is now hanging out around recent lows.
Overall the markets are in line with all the above Risk Assets correlating nicely. Any bounce at this point, would probably affect all three. As well we’ve seen the commodity currencies falling along with the commodities. So we should get some amazing trades in this week.
Wait for the perfect entries and study your Orders before placing them. Analyze your stop loss and take profit before the trade to avoid a panic after opening it.
Let me know if you have any questions or require any assistance in your account.