Many of the
major pairs in the currency market have been at crucial crossroads for the past
few days as they have yet to provide us with a clear direction for the month of
July. Some have been moving sideways ever since the end of the recent 2-month
period of risk-aversion that benefited the Yen and the US Dollar, while others
have reversed this trend in sync with the recent return of risk-appetite. As I
examine some of these currencies, we will notice that their direction will
depend on what takes place at major technical turning points.
TRADER OF THE MONTH
that these and other pairs will take this month will also determine the choice
of trades that I will make as part of my goal to be Dukascopy’s Trader of the
Month for July. My strategy will involve trading several 100 - Pip moves in the
direction of the major trends across several currency pairs.
After the large
breakout from consolidation in May that led to gains for the USD, the currency
has now settled above the major support line of the Monthly Chart´s Pennant.
The Daily Chart had begun to rally from this area and even broke the downtrend
line that had defined the previous trend, but t…