Levels to watch out for in overnight trade
- EUR/USD: Large bids rumoured near 1.3270 with stops directly below there at 1.3265 from interbank prop types.
- USD/JPY: Last time USD/JPY was near 98.50, China was selling.
- AUD/JPY: Significant break above 89.00 suggests a buy-dip strategy from here.
- AUD/USD: Any levels now near .9050 must be considered a good short-covering opportunity and only a break below .8950 will put the bears back in charge imho.
- GBP/USD: Heading higher pretty soon I think; patience needed and looking to buy exhaustive dips to 1.5280.
- USD/CHF: If you must be long dollars, this looks like your best option!
Hi Sean, what are your views on September tapering? As per your positions, it seems you favour USD shorts though?
there is a big option expiry in usd/jpy of the tune of 800 million which is keeping interest in that pair. once that fellow exits it will be back to normal.
I think it is at 98.20/50 not sure.
Hi Jack. I think it’s much less relevant than people think but of course the mkt needs something to focus on. I’m more interested in overall speculative positioning and with mkt long USD, I think its more likely to square up these positions unless Ben is much more aggressive on Taper than expected
Thanks Sean, insightful as always. I’m long USD/CHF as I think that’s got some catching up to do. We’ll see!
Good call Jack