With the current price war between the Saudis and the Russian, with Saudis flooding the market price of oil sending prices lower, the US fracking industry and those trying to get into the market this is not profitable for them to perform the business at these prices, so as a countermeasure it would seem the fed had started pricing the dollar higher, so the continued price sinking of oil has set the dollar as the safe haven not silver as the fed rushes to hike its price of the dollar.
What does this mean for your trading, with this idea in mind the opportunity on the downside with oil will likely be met by oil sending down to 12$ a barrel, while Goldman believes it will be 20$ a barrel I do not share this view and see prices driving too much lower, which presents a great one side trade opportunity to sell oil till the target price.
If the continuation of the rally in the dollar with the continued downside in oil then we will have continued downside in the fx pairs against the dollar
The EUR/USD sustained the decline but has not yet met the downside objective of 1.0775, considering how slow it has come to hit it there could be the expectation it plays catch up with GBPUSD to the downside so this could potentially be the better trade for the downside today.
So considering GBPUSD, we could seek continued downside should it start breaking away, if we retrace we could see GBPUSD consolidate to trading higher.
The stock worth noting today will be TSLA
The current price is at 362, but with continued downside expectation in DOW Jones industrial to 15k and the s&p 500 to 1750 then tesla could be a significant stock to trade for 100 point move to the downside the chart above is a daily chart so there is plenty of room here