May 31, 2016
Rate hike in US economy
The USD is trading near its three month highs against basket of currencies. It is finding it strength from a growing view that a US rate hike is imminent. Fed Reserve chair, Janet Yellen, said on Friday that a rate hike would be “appropriate” if the US economy and labour market continued to improve.
The AUD rebounded sharply on surprisingly strong local economic data. The AUD has been in a bear trend in recent months, but most trader believe the bad news has been priced in
The Yen managed to hold recent gains supported by month-end buying by Japanese exporter. But longer term the possible government stimulus package could weigh on the currency
TRADE SUGGESTIONS
Long/Buy USD Short/Sell YEN
Long/Buy AUD Short/Sell YEN