Here are the three events we are watching next week to shape market sentiment and key macro trades:
Fed, Data, and Flows Drive this Trade.
See the attached chart and spike on the DXY from the Fed announcement which came in much more hawkish than traders had expected.
Despite the global turmoil the USD is breaking ot the bottom of
a very defined range on the DXY.
Despite the global turmoil the USD is breaking to the bottom of a very defined range on the DXY. Why?
Emerging Markets are up about 80 bias points a nice bounce off the mornings lows. Tune in to how we are playing currencies including U.S. dollar as it approaches support. We also review the Ukraine events and what strategy we are using to take advantage of the weekend events.
We continue to view the Dollar as a range trade that can be played tactically until we see a fundamental change in Fed policy towards raising rates and the European Central bank add more extraordinary measures.