We should strategically protect our position, not a sickly stop or weak-looking exposure, etc.
As you can see, the bids at 1.207x held and buyers as widely expected fought like a lion to defend their jurisdiction. This was not the act of Christian kindness or pity or etc, this is a strategic point that required defending from the outflows. The strength to pull back above our 1.212x shows that buyers are functioning as normal, while sellers are licking their wounds and covering quickly.
How to get rid of our opponent?
A break above the 1.222x via a more dovish than anticipated Yellen today will get rid of any remaining sellers and force 'confidence' back into the spotlight. This will not receive tender treatment as it always comes down to the same situation:
It always comes down to the same situation; a which could be called sound, but which has one sickly component. As we all know by now, the longer the delay in USD devaluation from Fed, the worst the blow is going to be in Equity markets and one way or another eventually this is going to look like Fed has been financing the WhiteHouse and then the game is up. Confidence will send capital fleeing.
Here eyeballing a test of 1.222x first before 1.230x. While invalidation or reassessment will be required should we breach the current floor
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