Trading Video: EURUSD Reversal or GBPUSD Breakout?

By DailyFx | Updated July 30, 2014 AAA

DailyFX.com -

Talking Points:

• In the aftermath of the FOMC; the dollar, risk trends and market conditions have taken different paths

• FX Volatility has dropped to a record low with short-term readings hitting lows nearing 4 vols

• Between appetite for return and yield forecasts, EURUSD and GBPUSD present different trade conditions

Sign up for the new Volume and Transactions Indicators to see activity behind the FX market!

It is healthy for there to be some measure of 'fear' in the market to encourage market participants to make prudent investment decisions. Yet, as the exposure to high-return assets and excessive use of leverage would insinuate, there seems to be little to no fear left. Volatility measures - good proxies for anxiety - further collapsed across most asset classes. However, nowhere was the complacency greater than in the FX market where short and medium-term measures hit record lows. Traders remain exasperartingly vigilant of a normalization in activity levels, sentiment and positioniong; but there is trading that can still be done in the meantime. EURUSD and GBPUSD are just two of the more interesting pairs. We discuss current conditions and trade options in today's Trading Video.

Sign up for John’s email distribution list, here.

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    EURUSD Drops to 11 Year Low Ahead of ECB, SPX Edges Towards Reversal

  2. Forex News

    EUR/USD: RSI on 4hr in oversold territory - FXStreet

  3. Forex News

    EUR/USD Technical Analysis: Euro Slumps to 11-Year Low

  4. Forex News

    GBP/USD Technical Analysis: Waiting to Enter Short Trade

  5. Forex News

    GBP/USD's overnight drop - FXStreet

Trading Center