Monday looks as though it could bring further US$ weakness, particularly against Cable and the Kiwi, but also against the Euro and the Aud, so buying dips is favoured.
US Stocks also look positive in the short term, but any bad news on the trade front could quickly eradicate that bullish theory, so a cautious stance is required. The ASX is at a 10 year high, which given what has happened to the Shanghai Index this year has me baffled, but it still looks strong. Much of the action seems to have been a currency play, so the prospect of a stronger Aud$ may provide some headwinds to further gains, but technically it still looks ok.
Elsewhere, on the crosses, EurJpy appears set to have a sterner crack to see what lies above 130.00, while AudNzd seems to have topped out for the time being.
Gold and Silver did little on Friday but may be lining up to take advantage of the soft dollar over the next few days, while oil is highly volatile, but I think will at some stage want to test the major Fibo resistance at 76.30.
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*Trade of the day: 7/7/2018 8:40 AM (AET)
*This is a personal opinion only, based on the look of the table below, and carries no guarantee of success.
Buy GbpUsd @ 1.3250. SL @ 1.3200, TP @ 1.3350
Buy AudUsd @ 0.7410. SL @ 0.7370, TP @ 0.7500
