Hey tradomaniacs,
As you may have noticed the market is not moving as it should looking at fundamentals and news which is why I`m still staying aside.
A positive newsflow of economic data and very good earning reports plus a rising stockmarket are not really driving currencies as they should due to the fact possible stimulus could continue to boost US-YIELDS, which is currently in favour of the US-Dollar .
In this case we got two intermarket-correlations which are contrary making it harder for forex-pairs to move smooth and clear (especially risk-on-pairs such as AUD/USD and NZD/USD ).
Another example is USD/CAD as the market does not really know where to go as CRUDE OIL currently rises with the US-Dollar .
DXY (US-DOLLAR-INDEX) is by the way creating its first divergences looking at Momentum and indicators such as MAC-D and RSI and I`m waiting for the market either to break through the key-resistance or to create a double-top.
Bond prices and yield are by the way inversely related.
So what shall we look at?
As long as YIELDS continue to be strong with risk-on in the stockmarket we might see currencies stuck in major trend-areas.
This means we either wanna see risk-off in stocks for a bullish USD or falling YIELDS with rsik-on in the stockmarket for a bearish USD!
LEAVE A LIKE AND A COMMENT - I appreciate every support! =)
Peace and good trades
Irasor
Wanna see more? Don`t forget to follow me!
#Patience
As you may have noticed the market is not moving as it should looking at fundamentals and news which is why I`m still staying aside.
A positive newsflow of economic data and very good earning reports plus a rising stockmarket are not really driving currencies as they should due to the fact possible stimulus could continue to boost US-YIELDS, which is currently in favour of the US-Dollar .
In this case we got two intermarket-correlations which are contrary making it harder for forex-pairs to move smooth and clear (especially risk-on-pairs such as AUD/USD and NZD/USD ).
Another example is USD/CAD as the market does not really know where to go as CRUDE OIL currently rises with the US-Dollar .
DXY (US-DOLLAR-INDEX) is by the way creating its first divergences looking at Momentum and indicators such as MAC-D and RSI and I`m waiting for the market either to break through the key-resistance or to create a double-top.
Bond prices and yield are by the way inversely related.
So what shall we look at?
As long as YIELDS continue to be strong with risk-on in the stockmarket we might see currencies stuck in major trend-areas.
This means we either wanna see risk-off in stocks for a bullish USD or falling YIELDS with rsik-on in the stockmarket for a bearish USD!
LEAVE A LIKE AND A COMMENT - I appreciate every support! =)
Peace and good trades
Irasor
Wanna see more? Don`t forget to follow me!
#Patience