“Flash Boys” has caused quiet the stir since it was published 3 days ago. Michael Lewis brought us “Liar’s Poker”, “The Big Short”, “Moneyball” and “The Blind Side” (the last two made into movies) has taken on High Frequency Trading and its role in the market place. Google his name or the books’ title and see how many hits you get already. The stock market is abuzz with the debate and its making its way into currency trading.
I also recommend reading Liar’s Poker and the Big Short.
News from overnight was reasonably subdued, stocks continued to rally whilst copper and oil came off the boil. Economic figures from US bolstered the bid in stocks and the interest rate market, which in turn put the bid into the greenbacks. Busy day today of data but biggest will be Draghi and the ECB monetary policy.
DATA HIGHLIGHTS TODAY – AU Retail Sales and Trade Balance & Gov Stevens. UK Services PMI. EU ECB Meeting. Cad Trade Balance. US Trade balance and non-manufacturing PMI.
AUDUSD – A LHLL low range day. Still looking for the retracement as momentum is on the too high side.
EURUSD – An engulfing seller bar as the market awaits Draghi tonight. Stay away for the time being.
GBPUSD – An inside bearish bar and we wait for the market to decide in which direction it wishes to move. Have moved stop to protect the trades’ profit, so we wait.
NZDUSD – Smoked! Not all bad news though, we should be preparing to look for buying opportunities perhaps.
USDCAD – Non-committal on the ema with a LHLL.
USDJPY – Has overcooked but still giving HH’s. Looking for a pullback to get in on.
GOLD – Some profit taking overnight saw some buyers in the market, still no reason to get long, look for shorting opportunities.