Trading Plan – Monday 9th March 2020: OPEC+ price war collapses oil price, send equities lower

Mark NugentMarch 2020, Trading Plan

Trading Plan – Monday 9th March 2020: OPEC+ price war collapses oil price, send equities lower

Last Week

Events and Calendar

COVID-19 dominates for the fifth week.
Fed cuts rates by 50bp in unscheduled meeting. BoC cuts by 50bp vs expected 25bp.
OPEC mtg ends in threats of Saudi/Russia price war.

Risk Sentiment
Changeable, mostly risk-off.

Asset Classes
US equities rise over the week but fail to reach prior week’s close; outside US, indices continue to drop.
WTI moves down beyond support.
GOLD closes at 7-year high.
USD and CAD significantly down; EUR and JPY significantly up; Antipodeans trending down.
US10Y yield hits new all-time low.

This Week

This week gets of to an explosive start. The OPEC+ oil talks break down and Saudi Arabia launches a price war with Russia. WTI drops over 30% in early trading, now languishing around 20% down from the Friday close. Equities follow suit. Sentiment is clearly risk off. In the video I detail how I will approach the markets this week.

Happy Trading

VIP Club members can watch the video HERE