I was expecting that the non farm payroll numbers on Friday, October 2nd will be closely watched as a signal for whether Janet Yellen will be raising interest rates this year. The noise in the media was playing up this event.
I on the other hand, had to make an urgent business trip to KL on Thursday through Saturday.
It was so funny, I was out for dinner in the Subang area where the internet connection is not always the most stable. I was with a group of business people having dinner. At about 8:25pm I excused myself from the group saying that I needed a few minutes to catch up with an old friend at the bar. I went up to this lady at the bar and explained to her that I needed to access the fx markets on my Iphone and that I would be most grateful if she would pretend that we were long lost friends and keep me with her for about half an hour. She hugged me and started acting up the role…………TOTALLY SURPRISED ME.
It’s terrible trying to do an fx trade on an Iphone, the screen is small and at the back of my head was the worrying fear that I may lose connection anytime.
I decided to do a straddle on the GBP and EUR: –
EURUSD – Stop if Offered; 1.1130, Spot; 1.1163, Stop if Bid; 1.1190
GBPUSD – Stop if Offered; 1.5120, Spot; 1.5150, Stop if Bid; 1.5180
As we all know, the non farm payrolls came out way below expectations of 201K at 142K, but what was more surprising that the markets reacted negatively was the adjustment to the previous month down to 136K from 173K. I don’t know how this will affect the running average, but for the time being, it’s SELL USD.
By this time, I already knew this lovely lady’s name, Cassandra and she was watching the fx markets with me on my Iphone, totally fascinated and what was happening in front of her eyes.
As it turned out the EUR popped up aggressively, the GBP was more of a roller coaster ride. Cassandra was getting so excited grabbing onto my hand, screaming, wanting to know when I am going to get out of the trade. She was quite distracting! My group who was watching from the other end of the restaurant was wondering what was going on.
At about 8:50pm, I decided to square off the trades in fear that the whole thing may get out of hand and also the fear that I may lose internet connection.
Squared the EURUSD at 1.1291 and the GBPUSD at 1.5216 for a trading profit of 101bps and 36 bps respectively on $10Bn trade size each.
Cassandra kept on screaming and grabbing onto me while I was trying to get out of the trade, really, you need a very strong resolve to focus and concentrate when you have a beautiful woman distracting the hell out of you.
I thanked her for helping me out, ironically, she thanked me as she said she never experienced something like this ever before, she whispered in my ear that she had an orgasm. I burst out laughing and she blushed.
I returned to my group and they were all drilling me on what the F_ _ _ happened at the bar. I just told them that my old time friend was excited seeing me after a 10 year lapse.
My blog followers have been asking me whether I hooked up with Cassandra again later in the night? Yes……………and that’s another story……….PG.
The Panthenon Investment Group 