Tuesday 27 October We've not had much market moving news so far this week. A lack of Middle East escalation has been greeted positively, although it is a tentative positivity. All in all, it seems the market is waiting for Wednesday's barrage of events before committing to a direction.
Weekly Review Very often, currency movement is dictated by the overall 'market risk environment'. But during the week starting Monday 19 October, we had to look a little closer to home to pin-point the movement of some of the currencies. The week began with news of civil unrest in
Understanding the Bond Market to Navigate the Currencies. When I started trading, interest rates were very low, inflation was low and if anything the overall environment was one of disinflation. As a consequence (although still important) the bond market was not a main driver of the market. Fast forward 11 years and the 'post covid lockdown era&
Weekly Review: My thoughts on the narrative and the week ahead. Understanding the USD'S 'price action' during the week starting Monday 12 October could be described as complicated. It didn't start out that way, in fact, the first half of the week was very straightforward. US CPI data was due on Wednesday, a high reading
Trade photo and explanation. With the North American session about to get underway, I maintain my view that USD weakness can be faded. I've entered AUD USD short. The risk to the trade is simply if the USD weakness from yesterday continues. But for now, I maintain my long USD bias and
Weekly Review The USD rally took a pause during the week starting Monday 5 October. Is it consolidation before another leg of strength? Or has the dollar peaked? The case for further USD strength: After weeks of strength, it's only natural that some profit taking was due, especially after the
FOMC minutes. The relatively hawkish FOMC minutes should, for the time being, ensure the USD remains supported.
