Eurozone stocks are slightly lower on Monday following on from the Asian session.

Weak industrial output data from China over the weekend saw China’s Shanghai Composite fall 2.67%, raising fresh concerns over the global economy.

U.S Oil is trading lower today as OPEC trims estimates for 2016 supplies from outside the group.

In currencies, mild Dollar strength can be seen against most majors although trading is light. Gold remains stuck around the 1105 mark with little movement as the overall lack of news affects markets.

The U.S session could be interesting, and may liven things up as the mood in the U.S is more upbeat than its Asian and European counterparts.

Amidst the uncertainty surrounding the global recovery, along with the widely anticipated FOMC announcement later this week, perhaps for today at least, traders may be happy to take a step back.

Trading quote of the day:

“You don`t need to be a weatherman to know which way the wind blows”

– Bob Dylan

EURUSD
Pivot: 1.13
Likely scenario: Long positions above 1.13 with targets @ 1.14 & 1.144 in extension.
Alternative scenario: Below 1.13 look for further downside with 1.125 & 1.121 as targets.
Comment: The break above 1.13 is a positive signal that has opened a path to 1.14. The prices remain supported by a rising trend line.

GBPUSD
Pivot: 1.5395
Likely scenario: Long positions above 1.5395 with targets @ 1.5475 & 1.551 in extension.
Alternative scenario: Below 1.5395 look for further downside with 1.5335 & 1.529 as targets.
Comment: The RSI is mixed to bullish.

AUDUSD
Pivot: 0.7065
Likely scenario: Long positions above 0.7065 with targets @ 0.7135 & 0.7155 in extension.
Alternative scenario: Below 0.7065 look for further downside with 0.703 & 0.7 as targets.
Comment: A support base at 0.7065 has formed and has allowed for a temporary stabilisation.

USDJPY
Pivot: 120.95
Likely scenario: Short positions below 120.95 with targets @ 119.9 & 119.6 in extension.
Alternative scenario: Above 120.95 look for further upside with 121.3 & 121.75 as targets.
Comment: As long as the resistance at 120.95 is not surpassed, the risk of the break below 119.9 remains high. The pair has broken below its intraday rising trend line.