Why the market is so volatile right now

maybe traders selling to cover bitcoin margins... sell anything to break even, and now lots of volatility all over.
fx market is like a mad man today, perhaps start to give some direction soon?

my thoughts

There is direction already. All risk is trending down (better believe me if you do not see it outright) and it will be sustained for at least most of this month and maybe next and more. That I think is the way to look at it for some time to come. The $ is king again (and I am sure some jokers will come up with the silly idea that it is a run to safe havens which to me is nonsense - as is anything that you cannot tell until after it happens). Best of the trades -- trends mean profit.

The Crow (-_-)

Dear Crow,

I trade GBP vs all major currencies, are you saying GBP will be trending down against all the major pairs for a while yet?

Anything input on Gold?

Another unusual suspect is that the Patriots lost a Super Bowl. That alone could have caused this panic selling.

lol....get serious....

i assume Crow meant ... usd is dollar is king
... & gbp is sterling

I see the kiwi (nzd) doing well and the usd dollar doing poorly.. but hey, choppy water today

I beg to differ. The market is not volatile. It only seems volatile to day trader. At the higher timeframes which is where the pros focus, everything that is happening is as expected.

yes... sometimes i get stuck sideways and start looking for exits or holds in the smaller frames. i know its not the place to be

The GBP - that one is as crazy as it gets - very difficult to call - has a mind of its own it seems and does not conform (to my mind) to the patterns we see in other currencies. But these are the facts (as I have read them off of the charts), It did exceed the weekly R2 level two weeks back and pulled back not by too much but significant enough for H4 to declare a trend down. H4 is of course easily the best representation of the unitary phase. Whatever is the trend in H4 is definitely the trend or working direction direction to use for a pair or asset. However, GBP is only now at the point where the rest of risk were eons ago (relative to the $) - it only just started rising against the USD on the unitary scale so it is all very confusing to frankly as to how long it will sustain the direction in H4 and or whether in fact it will persist immediately to sustain this late rise against the USD (late relative to other risk). So not sure if will push up against the $ and play catch up later with its peers regardless of the fact that my reading of H4 does suggest the pull back from its strong move up against the $ recently has it looking bearish on the intraday scale. Very hard for me to say more than that - I traded it last some 11 years ago and I will admit it is the only pair on earth that has confounded me (and my model) and as you can see I just do not read it well enough to be that confident to share more than I have. I trade Gold and only Gold really though every once in a while anything else including the Euro, AUD, etc. I am trading Gold down at the moment because that is what the H4 "trend" is -- but watching 1319 closely - it could be a highly reactive level - if we crack that then may be 1299 the annual pivot would be the immediate goal. But here is the thing - until now all risk were in a definite uptrend versus the $ and in Gold - as with most risky pairs (except the GBP that is in a breakout versus the $) its Monthly chart is showing the current fluctuation down in a tentative structure (i.e. as if it could react up and resume the erstwhile trend still) - so every one needs to trade carefully and follow mathematically well behaved time frames like H4 - if it switches up you do the same and down you follow it. That is the only sane way at this time I think. Love Gold though - anything else is a bore (though GBP and the Yen Crosses are sweet too because they are so so volatile, sometimes as much as Gold). Cheers

The Crow (-_-)

liquidity was sucked out of markets by robotic sell programs

I don't know WHY people are complaining so much about volatility. Volatility = Opportunities for profit. If the market never drops down, HOW is it going to go up? The market, just like every single creature in the world, needs REST!! This "volatility" is just market resting, taking a break. And then once it's gathered more strength, it will go back up even further. Geez! You don't like down moment, then you manage your risk better!!

Exactly

Let us be very careful. Manage your portfolio professionally.

no need to question the market, just aim n pull the trigger..