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Level and Target Adjustments for the U.S. Session – December 12th

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Today, the British pound, Australian dollar, and Canadian dollar were traded using the Mean Reversion strategy. I traded only the Japanese yen using the Momentum strategy.

Inflation data from the eurozone matched economists' forecasts, which kept volatility in the EUR/USD pair at a low level. However, despite stable macroeconomic indicators, market sentiment remains on the side of euro buyers. The British pound did not face major difficulties after the release of weak UK GDP data for October of this year.

Level and Target Adjustments for the U.S. Session – December 12th - ExpertFX School

During the U.S. trading session, there will be no economic statistics from the U.S. at all, so attention will shift to the speeches by FOMC members Beth M. Hammack and Austan D. Goolsbee. Traders will closely watch for any hints regarding the Federal Reserve's future monetary policy. Markets are hoping for more clarity regarding the timing and scale of potential interest rate cuts next year. Any disagreements among FOMC members may trigger volatility in financial markets.

Level and Target Adjustments for the U.S. Session – December 12th - ExpertFX School

Special attention will be given to statements from Beth M. Hammack, known for her conservative stance, while Austan D. Goolsbee is generally more inclined toward economic stimulus.

If strong data emerges, I will rely on the Momentum strategy. If the market does not react to the data, I will continue using the Mean Reversion strategy.

Momentum Strategy (breakout trading) for the second half of the day:

EUR/USD

  • Buying on a breakout of 1.1740 may lead to euro growth toward 1.1777 and 1.1801.
  • Selling on a breakout of 1.1715 may lead to euro decline toward 1.1670 and 1.1650.

GBP/USD

  • Buying on a breakout of 1.3389 may push the pound toward 1.3416 and 1.3440.
  • Selling on a breakout of 1.3355 may push the pound toward 1.3320 and 1.3300.

USD/JPY

  • Buying on a breakout of 156.10 may lead to USD growth toward 156.55 and 156.94.
  • Selling on a breakout of 155.75 may lead to USD selloffs toward 155.40 and 155.05.

Mean Reversion Strategy (reversal trading) for the second half of the day:

Level and Target Adjustments for the U.S. Session – December 12th - ExpertFX School

EUR/USD

  • I will look for selling opportunities after an unsuccessful breakout above 1.1755, on a return below this level.
  • I will look for buying opportunities after an unsuccessful breakout below 1.1719, on a return back to this level.

Level and Target Adjustments for the U.S. Session – December 12th - ExpertFX School

GBP/USD

  • I will look for selling opportunities after an unsuccessful breakout above 1.3404, on a return below this level.
  • I will look for buying opportunities after an unsuccessful breakout below 1.3365, on a return back to this level.

Level and Target Adjustments for the U.S. Session – December 12th - ExpertFX School

AUD/USD

  • I will look for selling opportunities after an unsuccessful breakout above 0.6684, on a return below this level.
  • I will look for buying opportunities after an unsuccessful breakout below 0.6660, on a return back to this level.

Level and Target Adjustments for the U.S. Session – December 12th - ExpertFX School

USD/CAD

  • I will look for selling opportunities after an unsuccessful breakout above 1.3777, on a return below this level.
  • I will look for buying opportunities after an unsuccessful breakout below 1.3746, on a return back to this level.
The material has been provided by InstaForex Company - www.instaforex.com
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