The mood in the market is positive and improving to start the week.
US stock markets surged on Friday and the mood remains positive, despite a US long weekend. The Australian and Canadian dollars are at the highs of the day, which the pound is making headway against the dollar. Oil and gold are also strengthening.
AUD/USD is threatening Thursday’s high:
AUDUSD 10 mins
The rule of thumb is not to over-analyze a holiday trade, so keep that in mind. Month-end considerations are also going to be a driver this week.
All that said, it’s better to be up than down and the market continues to believe in the soft landing scenario.