@coolshades - I am also keen to get Ashraf's answer on correlation on snow.
Here's my naive understanding. Extreme snow weather hampers manufacturing, and thus impacts manpower - the casual workers. People can't get to work. Anything outdoor related can come to a grind. This could provide less than expected payroll. Bad data is positive USDX, and bad for equities. Bad equities drives JPY lower.
All, try this as an exercise, and look through all the past articles on this forum on any Tuesday related to Gold and Euro (sometimes Monday). Is there any pattern here?
I am guessing that Aust Housing data is going to only get worst in coming months with the hike in interest rates and now that the 1st home buyer advantage is over (finished last year). Aussies are very sensitive to higher interest rates and will drive the consumer confidence and housing data lower in coming months. In Australia, there is also a lot of foreign/asian buyers especially in the high-end properties -- with tightening in China and higher AUD, this will further affect the foreign/asian buyers.
@pipster, if BOC going to drive CAD higher, it could (likely) to pull commodity (oil) and its relatives together (incl. Gold, AUD). Like the AUD pair, CAD seems to be making its move higher ahead of the rate decision. There are other factors that could limit a proportional raise in AUD. Notice how the USDCAD is diving lower below 1.04 with AUDUSD now above 90.
This could just be a simple US dollar correlation now vs. any sophisticated correlations given that even GBPUSD is climbing up despite lower than expected UK Construction PMI data and overall below 50.
@pipster, before it aims for 1.30, it could be a grind to get to 12965 which was 08 high. Notice how many times the pair has tried and failed to get above this. Perhaps the +ve EUR CPI shortly or +ve BOC release rates announcement could help AUD pull with it for the short-term. Also, AUDUSD seems to be struggling to stay above 90 level.
@pippedoff, nice catch on EURGBP. I had 2 orders to catch it, STOP 9090 or LIMIT 9160, I was able to catch it on its way down after missing appx 12 or so pips from the 9160. Hope to be able to ride it till 88/86 :-) Callum
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ما وراء هبوط الدولار مع الذهب و من منهما يتمكن الارتداد؟
موعدنا الآن في غرفة شركة إكس أم لجلسة الأسواق
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Here's my naive understanding. Extreme snow weather hampers manufacturing, and thus impacts manpower - the casual workers. People can't get to work. Anything outdoor related can come to a grind. This could provide less than expected payroll. Bad data is positive USDX, and bad for equities. Bad equities drives JPY lower.
Callum
Callum
Great video !
This could just be a simple US dollar correlation now vs. any sophisticated correlations given that even GBPUSD is climbing up despite lower than expected UK Construction PMI data and overall below 50.