The Week ahead May 4-9, 14
Well last weeks predictions did not totally pan out as expected but we did have some of the projected moves that I spoke to you about.
I hope that you made out well.
So what have we got in store for this week.
NOT MUCH!
The markets remain anemically range bound and I do mean anemic. The lack of any sort of volatility right now is absolutely pathetic. Brought on as a likely unintended consequence of central bank money printing and removal of stimulus.
It boggles my mind that this is the sort of action that they wanted in the markets even though I am sure that a lack of volatility is desirable so that interventionist strategies do not have to be implemented.
One thing I can tell you with reasonable assurance is that when there comes a time for volatility to rear its head again it likely will not be pretty, rendering most trading systems useless that have become accustomed to this sort of movement in the major markets.
My caution to you is prepare for such an event which I suspect is not that far in the future. Something will galvanize the markets into likely "fear" mode again. I am not sure what the event will be as there could be any event right now that will cause the dynamics of the markets to change. War, flash crash, social unrest or any combination of the above.
Be ready for it because it will come. I assure you it will.
In the mean time I would continue to watch the gold market as this seems to be where all the major movement is right now (if you can call it that). To the upside which is where I am positioned. I see very little opportunity in the currency markets this week other than being short in the GBP/USD. We are in no mans land in relation to mid term fibs so there is nothing really for any kind of a set up in the majors. I do not think that the minors are a trade because there is no patterns emerging in the more liquid markets.
There are times when you must sit on your hands my friends and this week might be one of them as the major news events are now past us.
I would simply wait for signal 15 in the EUR/USD and leave it at that.
Stay tuned to the blog and if any opportunity presents itself I will let you know what I am doing.
Cheers!
I hope that you made out well.
So what have we got in store for this week.
NOT MUCH!
The markets remain anemically range bound and I do mean anemic. The lack of any sort of volatility right now is absolutely pathetic. Brought on as a likely unintended consequence of central bank money printing and removal of stimulus.
It boggles my mind that this is the sort of action that they wanted in the markets even though I am sure that a lack of volatility is desirable so that interventionist strategies do not have to be implemented.
One thing I can tell you with reasonable assurance is that when there comes a time for volatility to rear its head again it likely will not be pretty, rendering most trading systems useless that have become accustomed to this sort of movement in the major markets.
My caution to you is prepare for such an event which I suspect is not that far in the future. Something will galvanize the markets into likely "fear" mode again. I am not sure what the event will be as there could be any event right now that will cause the dynamics of the markets to change. War, flash crash, social unrest or any combination of the above.
Be ready for it because it will come. I assure you it will.
In the mean time I would continue to watch the gold market as this seems to be where all the major movement is right now (if you can call it that). To the upside which is where I am positioned. I see very little opportunity in the currency markets this week other than being short in the GBP/USD. We are in no mans land in relation to mid term fibs so there is nothing really for any kind of a set up in the majors. I do not think that the minors are a trade because there is no patterns emerging in the more liquid markets.
There are times when you must sit on your hands my friends and this week might be one of them as the major news events are now past us.
I would simply wait for signal 15 in the EUR/USD and leave it at that.
Stay tuned to the blog and if any opportunity presents itself I will let you know what I am doing.
Cheers!
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