Disliked{quote} Interesting scenario possibly developing - a HH in to 720's than reversal right in to rate hike hint, than knee-jerk towards 0150's and bull reversal afterwards. If HH is not on the table - 350's (and a bit bellow) will get visited after which some major hesitation/rejection will fallow. For a buying after the fact movement they need a risk limit ( a meaningful high) against which longs will play and roundabouts of 1.07 seems ideal.Ignored
However, we can go a lot higher (the 1.07xx handle is empty on the TA side) on the knee jerk reaction if FED decide to play cat and mouse for another month. Everybody is pretty much v.well positioned for the opposite move and a surprise "no hike yet hint" will trigger lots of the tight stops of profit taking knowing that they can reload a lot higher ....to the other side, well its obvious for even the most sluggish trader, that the leg is the one to parity ...
We'll see but for now the roll first to get the earliest hint on what to expect next week for the FOMC.
sisse
Pending conversations? PM for a chat...I am mainly in OTM now