Weekly Game Plan 20 Jan 20

You can always find my weekly analysis in the FXRENEW Blog each week, along with articles and thought leadership pieces. Our best pieces can be found in one placehere. If you want to get an idea for how I trade trends, this webinar will help. If you want to know how I Trade the News, this plan will help. 

Here is this week's Game Plan:

With the US-China trade deal in the rear-view mirror and the tensions in Iran fading from the market’s radar, risk-assets have been pushed higher on the combination of fiscal stimulus and monetary stimulus. The USD closed the week strong across the board, while GBP attracted selling on BOE easing bets. The focus this week will be on central banks (BOJ, BOC, ECB, Norway CB), key data, the Davos summit and US corporate earnings.

Themes for the Week Ahead:

• Central Banks: Japan on Tuesday, Canada on Wednesday, Norway and the euro zone on Thursday. On Friday, China sets loan prime rates. Unless there are any surprize moves, expect the focus to be on the 2020 forecast.
• Davos: the World Economic Conference will see top policy makers and fund managers meet and ski in Davos. Of course the reflectors will be pointed on Trump and just how disruptive he will be. Comments will be watched.
• PMIs: once again we get influential data from the EU and the UK, which will be closely scrutinized.
• Earnings: Netflix and Disney are but two names reporting earnings this week.

Data in the week ahead:

• Bank of Japan decision
• UK Employment Change
• CAD CPI
• Bank of Canada Decision
• AU Employment Change
• ECB Decision
• NZ CPI
• EU PMIs
• CAD Retail Sales

On the radar:

During such an influential week for the markets, what is in vogue now may not be in vogue by Friday. So with caution, I remain bullish on US equities and USDJPY, bearish on EUR, GBP and AUD vs. USD and CHF.  For the more commodity-inclined, Palladium and Platinum remain in a strong uptrend also.