Big hedge fund bailing out of positions across all financial markets
Many thanks to our hedge fund insider for this latest tasty morsel of information. One of the ultra-huge hedge funds started dumping positions yesterday in cash, bonds and equities. Part of this position adjustment was almost certainly in USD/JPY but the 300 pip fall there was also partly caused by the risk-averse sentiment out of other markets.
Risk-reward favours the risk averse play in my view and I’m looking to sell any intraday rallies in EUR/JPY.