Once again TradersDNA has the opportunity to share with its audience; Trapped Traders Trade of the Day Analysis.
Big theme for today is definitely risk off as investors flee the stock market looking to park their money in safe havens, which means the Japanese Yen and the Swiss Franc will benefit from this flight to quality. The trap I’m going to be looking at today is called a trap break pullback.
It’s not quite a trade just yet. I need to see prices sell off a little more, but then if it pulls back into that 0.8120 to 0.8140 area and you get some confirming price action to the downside. Try and look for commodity-based currencies, which at the moment are struggling, to trade against (i.e., the USDCAD, the AUDUSD, the NZDUSD, and the USDNOK).
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