once against USDCHF long went in at 9265 post NFP. monthly hammer, stronger US fundamentals, Euro debt issues will almost certainly resurface next week once the rate hike circus is over (regardless of 25 bp increase). we all know flight from euro is correlated with flight from CHF to USD. No brainer!
Amazing Euro strength. Despite all the concerns with Portugal (which is totally akin to Greece) and Spanish downgrades, Euro is flying. Why? becuase interest rate hike expectations (and these are only expectations with no certainty or amount) are more in focus the soveriegn debt issues, regardless of fact that every rationale investor should know that these bailouts are like putting water in a bucket with a leak, and sooner or later the money used to bailout will be worth junk, akin to printing money really, but the way Euro is rallying, what do i know!!
All i can say is the previous 2 occasions where Euro tanked from 1.6 and 1.5, Trichet should have just come out with rate hike rhetoric and saved Euro from tanking!!!! seems to work this time.
Needless to say this is why i trade on technicals and use Fundies only for bias or selecting pairs, because charts tell you what traders are doing where as fundamnetals tell you what traders should be doing, which lets admit know one knows...
Remind me never to trade EURGBP again! This has a mind of its own. Only for those real long term traders out there with a lot of patience. I was short on this near trend line resistance of 8760, feeling good yesterday but today nearing my stop above 8760.
agreed. but if you look at both the previous occasions when it reversed from trendline resistance, Euro was superstrong at upto the point where it met the weekly resistance. Also if you loook at correlation tables EURGBP and EURUSD are not consistently correlated. But most importantly this is a low risk, high reward setup which actually led me to enter short. I am next week's event risk will be just the catalyst to make this come good.
Short here with stop above trendline resistance of 87.60. The weekly trendline resistance is not to be messed with. Each time it was hit on last 2 occasions it moved south over 600 pips. little concerned over high positive correlation between EURUSD and EURGBP, but still bearish on it, just. next week crucial though, BOE minutes and UK CPI.
I hear you..the HOT chart not looking so hot now both fundamentally and techincally, though the weekly trendline resistance at 87.60 being respected for now. Last chance for the HOT chart to show its hot stuff!!
Try publishing this in the UK weekend papers: Traders bet BankofEngland will raise rates to 6.25% --highest since 1… https://t.co/GWXrTEAk4R(9 months ago)
Poor start to a slow market day as Ezone PMIs disappoint. Im still keeping an eye on the rare (-2%) USD-GOLD combo,… https://t.co/UyRzWsRbs7(9 months ago)
-5% YTD is not good, while -7% from the year highs can be tough. Gold traders have their eyes fixated on this for n… https://t.co/NV5UMKsfNo(9 months ago)
ما وراء هبوط الدولار مع الذهب و من منهما يتمكن الارتداد؟
موعدنا الآن في غرفة شركة إكس أم لجلسة الأسواق
https://t.co/Y7tD0RxCS2
@XM_COM (9 months ago)
Jobless claims > 300k before next FOMC meeting would be ideal for Fed to make up for any CPI upside surprise (9 months ago)
"Cook & Eat at Home" scheme may come next to defeat UK inflation... (9 months ago)
Earlier in the week gold selloff was attributed to smaller than exp China EASING. Metal is now holding v well despi… https://t.co/ZW9cmXTPWW(9 months ago)
Gold, Bitcoin, USD Combo
I mentioned last week on here on how and why both gold and USD are falling together. Since then, the trend accelerated alongside another detail.
View Hot-Chart..
Looks like everyone is gone to check there offshore tax arrangments after the Jimmy Carr expose!!
Kam
Kam
All i can say is the previous 2 occasions where Euro tanked from 1.6 and 1.5, Trichet should have just come out with rate hike rhetoric and saved Euro from tanking!!!! seems to work this time.
Needless to say this is why i trade on technicals and use Fundies only for bias or selecting pairs, because charts tell you what traders are doing where as fundamnetals tell you what traders should be doing, which lets admit know one knows...
Kam
Kam
Kam
Kam
I hear you..the HOT chart not looking so hot now both fundamentally and techincally, though the weekly trendline resistance at 87.60 being respected for now. Last chance for the HOT chart to show its hot stuff!!
Kam