Perhaps the most convincing sign of a strong sentiment shift in the financial markets is when various risk-sensitive assets line up to a sharp move. That was what we witnessed this past session with the S&P 500 rallying back to resistance in its 100-day moving average, the USDollar dropping back to channel support and the yen crosses uniformly climbing. This would be a convincing potential trend development if there was a convincing driver for the improved sentiment. Yet, there wasn't. With the markets still dealing with unusual trading conditions (thinning speculative liquidity, big-ticket threats and a seasonality expectation), it is critical to remain vigilant and flexible. We discuss the risks and opportunities in today's video.
New to FX? Watch this Video
Sign up for John’s email distribution list, here