Anyone thinking EURUSD 1.38 is on the card soon (3-4 months) must be crazy. USD cannot go to such strength before they start to raise interest rates BEFORE Eurozone.
Ashraf, with the mementum and fundamentals in USD selling; good news yesterday out of the UK, don't you honestly see further upside above 1.66 in GBP, and above 0.8650 in AUD. The world is getting rid of their USD - the UN asked for an alternative - Gold is possing 1000. Oil again above 71. It is only USD strength that can bring AUDUSD down to 0.81 again.
Ashraf, what do you make of the breakout above the key 0.845 level in AUDUSD on Friday; where does this place the 0.826 target for now? The GBPUSD high of 1.641 above the previously noted 1.637/8 top - do you stll see 1.627 and then 1.623 as discussed on Friday before the break higher? Do you attribue these highs to a thin Friday market or a possible continuation of the risk appetite to even higher levels based on recent good news?
Thanks for the comments - seems like your oils predictions lower are spot on.
Hi Speculator; what was driving GBP & AUD so high on Friday. Do you expect them to continue their upward trend from here. I was so convinced that GBP will come down steeply, that I shorted along they way up - not expecting it to break higher. Same with AUD. I think Ashraf is only looking at he charts.
RBNZ was begging last week for the NZD to e weaker, but the market obviously don't care much about that. They also said last week they don't have money to intereve, which I think was strategically a bad move.
H Ashraf Are you still confident baout shorting NZD to 0.64800? Wat about AUDNZD? It seems like a downward channel, currently at the top resistance line as you mentioned yesterday.
@Rinsura1 ugly weekly candles in yields (2 days ago)
#BankCredit vs #LabourMarkets. Both competing whom shall singlehandedly hang the longest from the bar. (2 days ago)
@piptrain but on the bright side, we held the Oct trendline (3 days ago)
Gold shrugging JOLTS and going w/ Chicago PMI (3 days ago)
we all know the high pstv correlation btwn Chicago PMI and Manuf USM or napm as it used to be called (3 days ago)
US-JPN 10yr vs #USDJPY: Who's wagging whose tail? find out below
https://t.co/ORmIfTeADr
#forex $TNX #XAUUSD $GLD (4 days ago)
#JPY finally playing along w/ yields. Ystrdy's holiday signal helped. More work is needed. #JOLTS will be key tomo… https://t.co/Z4MA3vaMAf(4 days ago)
During yesterday's sleepy markets, I highlighted in this tweet the rally in bund futures (rising prices, falling yields) may signal similar price action at the subsequent session, when US bond yields/prices return from Memorial Day Weekend. Today's bond price action did not disappoint, as the homogenous asset class moved in concert, delivering gap ups in prices and falling yields. This was a desperately needed development for yen bulls (particularly USDJPY shorts). Interpret what you wish from the chart below as to which is the dependent and independent variable (USDJPY or yield spread). Who leads whom? Shorting USDJPY has been the "pain trade" for our WhatsApp Broadcast Group, as we await Wednesday's debt ceiling vote and the JOLTs survey. Hanging in there.
Thanks for the comments - seems like your oils predictions lower are spot on.
Thanks
Are you still confident baout shorting NZD to 0.64800?
Wat about AUDNZD? It seems like a downward channel, currently at the top resistance line as you mentioned yesterday.