Missed again on the euro, oh well nevermind! I think Merlin might be right about this pair bottoming out at this level.
Be interesting to buy on support levels next week if its still ranging methinks...
Be interesting to buy on support levels next week if its still ranging methinks...
Quoting abobtraderDislikedHe he, that was fun, fading the extremes in EUR/USD on the back of the data. NFP was bang in line with expectations.
For the macro picture, I feel a little bit more USD bullish, but thats a bias stemming from the price action. We (or at least me, anyway) are easily influenced, eh!
Going forward, and to be a little different from the pack I would keep an eye on the fwd looking indicators of Europe such as ZEW and IFO. CPI is important, but I don't think numbers like GDP or other dated data will have an impact. The eurozone is a slow moving beast and if we want to get a steer on the steepness of the tightening trajectory, fwd looking indicators may be what it is all about.
Note - Cable looks like a poor surrogate for the EUR/USD these days. The correlation has broken down a bit as the mkt has chosen to buy cable on EUR/USD rallies, but to sell EUR/GBP on the dips...ie its trading with a GBP +ive bias.Ignored