TUESDAY DATA (Trade reaction):

• NA France closed
• 0001 UK house price balance down to -19 WTE
• 0230 AUS Trade Balance down to -1587M WTE
• 1030 AUD annual budget BTE = long AUD, WTE =short AUD
• 1100 GER Ind Prod BTE = long EUR, WTE =short EUR
• 1315 CAD housing starts BTE = long CAD, WTE =short CAD
• 1330 EU ECB Draghi speech Hawkish = long EUR, Dovish = short EUR

NEWS:

• Asian share close up on hopes SPA will use public funds to help banks.
• Euro near 3 month lows on FRA and GRE debt concerns
• AUS trade gap widens worse than expected with imports outpacing exports.
• UK house prices fall more than expected.

Initial Thought: with poor news over the long weekend on EU debt I would expect the EUR to keep falling in the coming days, however there might be some short covering today from yesterday's hard sell off.

Correlation: EURUSD High negative with USDCHF, High Positive with EURJPY.

ID (Emotional Bias/reaction to news): Long the USD
Watch out for: GER ind prod and EU ECB speech
Plan:  Look to get long the USD on longer TF. Scalp between data, lighten up 20 mins before results and trade numbers. Pay special attention to ECB speech with so much sentiment in EU debt will likely help or hinder day.

1. 1030 AUD annual budget BTE = long AUD, WTE =short AUD
2. 1100 GER Ind Prod BTE = long EUR, WTE =short EUR
3. 1315 CAD housing starts BTE = long CAD, WTE =short CAD
4. 1330 EU ECB Draghi speech Hawkish = long EUR, Dovish = short EUR

Potential Trades: I might short GBPUSD on 2 closes below it's H1 55EMA

Personal Notes:
After long weekend I’m feeling a little drowsy and slow. Will probably watch price action for a little while before getting into trade today.  Would just like to flow with price and get a feeling for it. Good luck to the rest of you.