Skip navigation

Daily Archives: June 27th, 2013

Unusual Wednesday, June 26th 2013

Not much in data except for US GDP and that came in weaker and the market hardly reacted to it.

In fact, the USD moved against the other majors right after Draghi’s speech at about 2:30pm Singapore time.

And the majors fell against the USD again at about 10pm, based on ‘nothing really’…………that’s strange.

All in all the majors lost about 80bps to 100bps against the USD.  So we are now below the trading bar, we’re not at the bottom of the last Fibonacci yet and I do not believe it will get there as there isn’t anything drastic coming out from Europe.

Trade: Short GBPUSD on weaker GDP and worsening current account deficit

I saw an event trading opportunity with the UK GDP and current account numbers came out at 4:30pm Singapore time.

I short the GBPUSD at 1.5297 and squared at 1.5267 for a 30bps trading profit.

Then I had to shut down as I needed to leave the office.

Now at 9pm Singapore time, the GBPUSD is at 1.5243………….no worries, based on my stochastics, I should be out at 1.5267 which I did because it retraced back upwards to 1.5300 at 7pm Singapore time.

The GBPUSD actually weaken by 40bps to 1.5243 just 10 minutes ago, and I can’t explain why, when the EUR, JPY and AUD are all holding steady against the USD.  Initial Jobless claims and personal spending came in flat as per forecast.