Aussie Catches China’s Cold

Morning Report: 08.45 London

• Markets are once again under selling pressure after Chinese trade balance data came in well below estimates.

• This is hitting the Australian dollar hardest, with the AUD/JPY down 0.53% and the AUD/USD off by 0.39%.
                                                                                                               

                               

    
• The yen pairs are generally under pressure, with the GBP/JPY suffering in particular, down 0.25% ahead of today’s MPC statement.

                                                                                                                                                                                                              

• Commodities are mixed, though silver is nudging slightly higher bringing it to the top of its trading range.

                               

Coming up today:

• Coming up today we have the ECB monthly bulletin at 09.00.

• The day’s main item is the UK rate statement from 12.00. No change is expected here, but we make get more clues as to when rates could rise in the future.

• US unemployment claims follow at 13.30.

Trade Idea:

• Silver has been stuck in a right range since the middle of June, with this morning’s move bringing it to the top of this range.

• However, there’s nothing in the current price activity that infers a breakout is imminent. A retrace could therefore be on the cards.

                               

A good way to play this is a LOWER trade predicting that silver will close below $21.00 on Friday could return 218% if successful.

This is presented as an idea to stimulate fixed odds financial betting ideas and is not financial advice. 

Summary: