Intraday Strategies for Beginner Traders on October 20

The U.S. dollar regained part of its position against risk assets, but so far this appears to be no more than profit-taking following a strong rally.

Given the ongoing U.S. government shutdown, particular attention will focus on the first half of the day. Data on Germany's Producer Price Index (PPI) and the European Central Bank's current account balance are expected. Later, the President of the Bundesbank, Joachim Nagel, is scheduled to speak.

Economists closely monitor Germany's PPI, as it is a key indicator of inflationary pressure in the eurozone. A rise in producer prices often precedes a rise in consumer prices, which may influence the ECB's monetary policy. The data is expected to provide insight into the current state of the manufacturing sector and the inflation outlook in Germany.

The ECB's current account balance reflects the difference between the eurozone's income and expenditures on current transactions. A positive balance indicates a surplus in trade of goods and services, as well as an inflow of investment. These figures help assess the eurozone's competitiveness and role in the global economy.

The speech by Bundesbank President Joachim Nagel will also attract the attention of market participants. His comments on the current economic situation, inflation prospects, and monetary policy of the ECB may have a significant impact on the euro's exchange rate and overall market sentiment.

No reports are scheduled for release from the UK today, so no major movements are expected in the GBP/USD pair. Despite Friday's correction, the uptrend remains intact, so buying opportunities may emerge near the closest support levels.

If the data matches economists' expectations, the Mean Reversion strategy is recommended. If the data significantly exceeds or falls below expectations, the Momentum strategy is preferable.