Our first webinar of the new year and decade and it was good to be back and an enjoyable and lively webinar. The overnight news was dominated with concerns over the Chinese virus scares which sent equity markets in Asia falling as the longer-term risk on sentiment reversed, with strong selling of commodity currencies matched with strong buying of the Japanese yen, with all three of the US indices selling off in tandem with Far East markets.
The AUD/JPY was one of those in focus along with the British pound, with the GBP/AUD delivering and some classic price action on the faster timeframes. As always the currency strength indicator leads the way and guiding us into those opportunities developing, and those already underway, with the currency matrix then establishing sentiment across the complex. And the key as always is in identifying whether any reversal in trend is from a primary to a primary or primary to a secondary, for which we use volume price analysis and David explains at the end of the webinar.