Since this is my blog, I’ll start with minor personal updates. Trip to Mazatlan was great, just what I needed. Few days of warm weather made for a nice change from our prolonged winter. And, really, it was just warm, not hot. Temperatures no higher than low 80′s, very enjoyable. I don’t even look like a lobster or feel extra crispy. On the way back plane was almost empty, guess people didn’t want to go back to work. At any rate, one of the stewardesses (Alaska Airlines) was telling me how unpredictable their job is now, if they fly to Anchorage. Mount Redoubt volcano is blowing ash every other day, so flights are cancelled, rerouted and what have you. This brought back a lot of memories of this very same volcano active in 1989( can’t believe it’s been 20 years) and me stuck in in Dutch Harbor trying to make it home for Christmas. Some people were there for a few weeks not able to get out, courtesy of Mount Redoubt. Good times…
This week is going to be dominated with news from G20 summit in London. It starts on the 2nd of April, but most of the movers and shakers are already there. We all know agenda is heavy and stakes are high. Last meeting was in November and set lofty goals for international cooperation. Unfortunately, the world economy is in far worse shape now with all the goals from previous summit missed. Trade is deteriorating, protectionism is on the march and joblessness is rising. Street demonstrations have increased and widespread protests in London are predicted. On the same token, the usual declarations of unity and cooperation are also expected. There will be a lot of smaller meetings among world’s leaders. I expect a barrage of news, deals and rumors over next few days, most of them will not amount to much. But, whatever happens there has very good chance to move markets, if only temporarily, so it’s better to pay attention. Besides all the issues are important, so I think it is in everybody’s interest to follow the developments there.
Not much trading last night, breaking myself in slowly. I’m placing additional order to the set up from last post.

Trade based on 4H chart is still valid, but there is also room for a smaller trade. I’m using hourly chart and look for a sell. Entry is planned at 0.9227 with a target of 0.9160.  Yen pairs are worth watching now. AUD-JPY, NZD-JPY and GBP-JPY rebounded strongly from the sell off. We must see continuation form current levels, but prices seem to be pausing. Could time of day(typical slowdown about now) or potential reversal. I think these pairs are at important point right now, with Yen bearish bias.

Mike K.