Submitted Jul 9, 2013|From forexblog.oanda.com|7 comments

Dealers want volatility, investors like volatility and we have volatility across the pond, in sterling. The first trading session after non-farm payrolls historically tends to be the quietest of the month. Yesterday, did not disappoint as the dollar ...

Submitted Jul 8, 2013|From forexblog.oanda.com|21 comments

Last week certainly had its unique moments, with the different asset classes doing their best to fall in line with directional help from both policy makers and fundamental data. Global bourses were mixed on the back of some disappointing Chinese and ...

Submitted Jul 5, 2013|From forexblog.oanda.com|4 comments

Friday’s strong US jobs report has the Fed on track for a potential roll back of stimulus as early as this September or sooner for some of those eternal optimists. The market is now moving from theory to real possibility pricing, expressed by a ...

Submitted Jul 5, 2013|From forexblog.oanda.com|4 comments

It’s here and market tension is high, as today’s US labor report probably has more riding on it than usual. Some of the less confusing Fed rhetoric of late will either be vindicated or investor’s will become more confused than usual. In the US, ...

Submitted Jul 3, 2013|From forexblog.oanda.com

This market has been looking for excuses in a week dominated by liquidity premium and a lack of economic fundamental depth to date. One does not need to look to far in this disjointed US trading week for some concrete excuses; negativity is being ...

Submitted Jul 2, 2013|From forexblog.oanda.com|4 comments

This market is expected to ease into a cautious gear, especially after some of yesterday’s sharp gains, and more specifically, ahead of some key events later this week. Economic fundamentals are unlikely to play a pivotal role ahead of the ECB and ...

Submitted Jun 29, 2013|From forexblog.oanda.com

The Canadian Economy has now officially lost its financial rock-star mentor, ex-BoC governor Carney. Next Monday, on Canada Day, Mark Carney starts his new role as the new top dog at the Bank of England. He has left the loonie in the capable hands ...

Submitted Jun 24, 2013|From forexblog.oanda.com

The global rout continues. Currently, there is only one-way traffic, and it’s all about getting investors out of their current trades and into something ‘more’ liquid as they price out the “liquidity premium” provided by Central Banks. The global ...

Submitted Jun 22, 2013|From forexblog.oanda.com

Their problems are mounting and becoming more visible – from China’s perspective that’s a big deal. Data this week shows that private debt/GDP ratio has managed to soar by +50 percentage points in just four-years. This pace has markedly outstripped ...

Submitted Jun 21, 2013|From forexblog.oanda.com|35 comments

The 17-member single currency got the “kiss of death” from the Fed – just like other currencies against the dollar. It has been a tough two weeks for the one of the G3 member currency. First, the market pared their record dollar longs going into ...

Submitted Jun 21, 2013|From forexblog.oanda.com

Do investors have time to let some of this week’s open wounds to heal? Time is commodity we are trading. The market assumed that Ben and company would perhaps be a ‘wee bit’ more patient with their liquidity presents – not so, it seems that they may ...

Submitted Jun 19, 2013|From forexblog.oanda.com|21 comments

So far there have been no surprises – consolidation is the name of the game this morning before ‘helicopter’ Ben gets to his press conference. The G10 major currencies have essentially traded sideways ahead of today’s FOMC economic projections, ...

Submitted Jun 18, 2013|From forexblog.oanda.com|3 comments

Investor’s primary objective is to get through tomorrow-in one piece. Another Fed policy will have come and gone, with ‘helicopter’ Ben again having the opportunity to leave a different legacy ‘footprint’ in his press conference tomorrow. The small ...

Submitted Jun 17, 2013|From forexblog.oanda.com

Asset class prices continue to fluctuate, mostly on the market’s expectation of Fed tapering through QE easing later this year. The degree of ‘swaying volatility’ has already tapered somewhat, on the back of last week’s major positioning. Mind you, ...

Submitted Jun 15, 2013|From forexblog.oanda.com

The market will be consumed by the Fed and what policy makers will have to say for themselves next week. Investors collectively have already done some significant pre-meeting asset price damage this week. The bleeding only happened to stop after ...

Submitted Jun 15, 2013|From forexblog.oanda.com|1 comment

It’s all about the Fed. The crying has stopped, while the bleeding has slowed somewhat, ahead of the FOMC meet next week. The EUR’s recent price action continues to beat the bears despite it’s own soft Euro-data. On Friday, the ‘mighty ‘ dollar has ...

Submitted Jun 14, 2013|From forexblog.oanda.com|6 comments

The bulls and bears have all got a whipping of similar magnitude in a brutal week for asset price movement. A week where both the shorts and longs have at one time managed to be squeezed, ending the jobbing opportunities of a few unnerved ...

Submitted Jun 13, 2013|From forexblog.oanda.com|3 comments

There is nowhere to run and nowhere to hide from the unwinding of quantitative easing, or so it seems? Vast amounts of monies continue to scour the various asset classes looking to book a good yield – for many players it’s their only sanctuary. What ...

Submitted Jun 11, 2013|From forexblog.oanda.com

There is little time to waste if you want to stay within catching distance of these markets. Originally lacking direction from Wall Street, the Nikkei traded around its 13,517 close from yesterday until the BoJ announcement of unchanged policy, ...

Submitted Jun 10, 2013|From forexblog.oanda.com|1 comment

In months gone by there would be a respite after NFP – the market gave investors time to lick their wounds and devise a trading strategy during the first session following the employment headline release. Historically, the Monday after NFP used to ...