EUR/USD
The EUR/USD pair initially fell during the course of the day but ended up bouncing significantly on Thursday as we continue to see quite a bit of volatility in the Forex markets. This market of course is very congested, and of course there are concerns about the European Union and whether or not the United Kingdom is going to stay a part of it. With that being the case, I think that we will continue to see a lot of back and forth trading, and therefore this is a pair that I’m not necessarily huge fan of trading at the moment. Given enough time, we might get some clarity, but at this point in time will more than comfortable staying out of this market as they tend to be more of a swing trader. Short-term traders may find trading stories, but they will be very small indeed.
GBP/USD
The GBP/USD pair initially fell during the day on Thursday, but found enough support near the 1.40 level to turn around and form a hammer. There was of course the murder of a British MP, and that has people suggesting that perhaps the EU referendum vote will be put on hold. This is just a rumor, so more than likely we will see some type of sell off fairly soon. Short-term rallies that show signs of exhaustion could be selling opportunities, because quite frankly not much has changed. This is the Academy of how fickle the Forex markets can be, and as a result it’s not a huge surprise to think that we will return to the downside almost as quickly as we rally. As soon as there is confirmation that the vote isn’t going to be delayed, the market should continue as it was before. Regardless though, one thing you can count on is going to be a lot of volatility.
