Daily Alert – Friday 23rd October 2020: Civilised Presidential debate ends calm week

Mark Nugent Daily Alert, Oct 2020

Daily Alert – Friday 23rd October 2020: Civilised Presidential debate ends calm week

It has been a relatively calm week in the markets with sentiment varying between indecisive and moderately risk-on.

Equities moved little over the week. WTI (oil) and GOLD also saw minimal volatility.

In the currency markets, the JPY tracked sentiment quite accurately, moving down when risk sentiment was positive. Commodity currencies hardly budged. Both the EUR and GBP rose as Brexit trade talks resumed on Thursday after some emollient words from the EU on UK sovereignty. The USD fell as the endless wait for a US Covid relief bill continued. The US 10- year yield hit a 4-month high.

I watched the final US Presidential Debate live, early Friday morning UK time. It was infinitely better than the first one. Despite the usual activist mainstream media claims that Biden won, there was no winner. Both participants landed a few blows but there were no knockout punches. I doubt any undecided voters would have had their heads turned by either candidate.

I placed one trade: EURAUD long. The theme of the trade was EUR strength. It yielded +1.96% on a risk of 1%.

I have posted a brief video of this trade in the VIP Club member’s area.

Have a great weekend and I’ll be back on Monday.

The VIP Club members area is HERE