My pick: Short Australian dollar-dollar and euro-dollar, long dollar-yen
Expertise: Fundamental analysis with risk management
Average time frame of trades: 1 day to 1 week

My sterling-dollar short from last week hit its first target; but the remainder of the position was trailed out at break even on a sharp reversal in risk trends and European currencies. Looking forward exceptional volatility and a clear lack of direction offers many very short-term setups, but few lasting opportunities. I’ll be patient and wait for bigger breaks on euro-dollar, dollar-yen and Aussie dollar-dollar (at $1.40, ¥79.50 and $1.04 respectively.


My pick: Short Kiwi dollar-dollar
Expertise: Technical analysis
Average time frame of trades: 1 day to 1 week

A fresh short-trade was established earlier in the week with the market surging to fresh 30-year highs before eventually stalling out just over critical barriers by $0.8500. From here, it looks as though the market is finally starting to show some signs of exhaustion, and we would look for the formation of a short-term bearish reversal to open deeper setbacks over the coming days back towards the $0.8000 handle at a minimum. Position: short at $0.8485 for $0.8000 objective; stop only on a daily close above $0.8600.


My pick: Stay short euro-dollar
Expertise: Global macro
Average time frame of trades: 1 week to 6 months

Last week I sold euro-dollar at $1.4188 expecting increasingly weak Eurozone economic data to weigh on ECB rate hike expectations against a backdrop of lingering worries about debt crisis contagion. Indeed, an EU leaders summit focusing on Greece this week seems unlikely to help much, as the spotlight shifts to Spain and Italy. My initial target is at $1.3968, the 23 May low, and a stop-loss will be activated on a daily close above the 61.8 per cent Fibonacci retracement barrier at $1.4294.