US ISM manufacturing data.

It's a very fine tightrope between the perfect amount of softening data (soft landing) or data softening too much (hard landing). It currently appears the market doesn't like today's ISM manufacturing data. With the 'risk off' currencies starting to strengthen and the S&P dropping a little.

As you know my preference is for 'soft landing' trades. Which at the moment doesn't look viable. Do I have confidence in a 'risk off' hard landing trade?...not yet.

My current decision is to wait a little longer to see the reaction to today's data. But if the current 'risk off,' momentum continues, I would be prepared to change my view and place a 'risk off' trade, which would be a commodity currency or GBP Vs the USD.

Feel free to email any questions: johnelfedforexblog@gmail.com