Observation Mode

Missed trading in the morning.

And there were three good signal opportunities at 12 pm noon time.
Long USD/CAD
Short GBP/USD
Short USD/JPY

They all yielded fast pips in the region 40 - 60 pips. Strength begets strength trading scenario appeared to be back in play.

Trading the News Strategy

I will be watching very closely the following major economic events this week - the most important week of the whole calendar month on economic development. Let see whether we can capitalise the use of forex killer software to trade ahead of the news.

Monday - Dec 3 (quoted in UK time)
9.30 am GBP Manufacturing PMI
3.00 pm USD ISM Manufacturing Index

Tuesday - Dec 4
2.00 pm CAD Interest Rate Statement

Wednesday - Dec 5
1.15 pm USD ADP Non-Farm Employment Change

Thursday - Dec 6
12.00 pm GBP Interest Rate Statement
12.45 pm EUR Interest Rate Statement
3.00 pm CAD Ivey PMI

Friday - Dec 7
12.00 pm CAD Employment Change
1.30 pm USD Non-Farm Employment Change

NEW! - Forexyard Daily Analysis

It's always good to know what behind the markets.

USD/JPY

The downtrend the pair is going through seems to be very strong and the daily chart validates that there is still room to run. The daily chart is confirming that the momentum down is still quite strong and that 109.00 is a valid next target. On the hourlies studies we see that there is a local correction that might end at the 110.70 peak. Selling on highs might be preferable today.

Carry trades were the name of the game, as the Aussie dollar and other "carry trade friendly" currencies flourished. In what has been described by some as "turbulent" markets, the JPY has been the focal point of much investor speculation. With its dependence toward foreign news being the main accelerator of movement within the currency, the JPY has found itself in the midst of major currency action.

[via Forex Yard]