The Fed hike is in trouble

Ok, maybe I’m getting caught up in the moment but traders have taken a very dim view of the data, which is strange when you look at it on paper, and have just seen a 3 pip jump in CPI. However, the market wanted more, and expected more skew from the weather. Wages data was so-so, which is another strange one as the earnings data in the NFP report was strong y/y.

All this shows what a crazy time we’re living in nd trading in, when reasonably good data on the surface is seen as bad. I did say how the downside risk is bigger than the upside risk before the data.

So, where do we go from here?

Once, again, stick to the big levels. 111.80 on USDJPY was one I was watching and it broke by 11 pips. Watch how it behaves now. Get back above and we try to retrace, stay below and we see more downside. 112.00 is likely to hold resistance now too. I’ve just lost 10 pips trading a long from 111.80 but I might take it again if we get and hold above.

EURUSD needs watching ar yesterday’s highs around 1.1880. If we can’t break it, you know which way it’s going. Same for GBPUSD but at today’s highs.

FX 15m charts13 10 2017

FX 15m charts13 10 2017

There’s no need to guess trades here, the charts are pretty clear.

Ryan Littlestone

Psychedelic chartist extraordinaire. Have your shades ready.
Philosophy: “Don’t be a Dick for a tick”

Read how Ryan got into trading here
Ryan Littlestone

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