Daily thread to exchange ideas and to share your thoughts

Happy Friday, everyone! Hope you're all doing well as we get thing going here on the European session. It's been a quiet start to the morning so far with the aussie being arguably the only main mover on the day after the RBA once again sent it lower on the back of lower growth forecasts in its statement on monetary policy.

WCRS 08-02

Meanwhile, the kiwi is benefiting from cross selling in the aussie as it holds top spot on the major bloc. However, the trading range remains relatively narrow to start the day. Of note, EUR/USD still sits in a 11 pips range so far.

Looking ahead, I would expect trading to still center around risk sentiment but at this stage I'm not holding a firm view on where the risk mood will settle on. US-China trade talks may not progress by much with the Trump-Xi meeting looking to be delayed but as long as a deal is not entirely off the table, it will keep markets in a state of flux in the coming days.

I still hold the belief that the best way to approach current market conditions is to stay flexible and adapt to changes in risk sentiment while looking at technical levels to define and limit your risk at the same time.

What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.