by Gavin M.
I don't know what you would consider as carnage or turmoil but EURJPY down at some point to 400 pips qualifies in my book. The S&P dropped by 40 points at one point as well. The question on everybody's mind is "will they buy the dip?" I will let the market decide that in the next 12 hours.
I was able to scalp as much as 130 pips across various EUR crosses as well as bond futures. As a trader, I have to spot opportunities where available. Let the smart people do the thinking and leave the trading to people like myself.
One thing is for sure in the next few hours - short covering. Whether it is induced by the ECB or whoever else out there buying risk to prove that "things are ok" you have to decide whether it is worth it for you to trade this chop. It will be a roller coaster and technicals won't work as much here. It's all price action and guts.
Going into this weekend, I did NOT hold any position. We also advised clients to either bet small or not do anything until Sunday because of the huge headline risk. The great thing at least today at the Forex open, we were able to make money for clients and that makes us happy. In crisis situations, those with experience will win in trades. Those who are new should ensure they either observe or get proper supervision from a mentor. Otherwise, your technicals won't be as strong in times of panic because thre is no forecasting human emotions.
Definitely take advantage of our services whether it be trading signals or education to prepare yourself for what could be a very volatile summer of trading.
Good luck to everyone!
Traders from Equity Sense will be writing on this blog on positions and other market-related things.