MoneyTec.com Traders Community Forum - View Single Post - Was this a so-called short squeeze on Friday?

albion · 08-11-2003, 09:30

Ive been thinking about that, (I lost 70 pips on Fri) and I have arrived at the following possible solutions, let me know what you think.

1. there was an anthrax scare in the US on Fri morning
2. 8 soldiers and a helicopter down in Iraq late Thurs

These are both USD negative and although they didnt affect the markets straight away they clearly weighed on sentiment

3. USD carries significant event risk over the weekend, as we have seen with 1 and 2 and the EUR is seen as a 'safe' currency

4. 1.14 seems to be a 'sticking point' on EUR/USD if you look at the daily charts on the way up and down, im not sure why, maybe fibo has something to do with it, maybe someone could shed some light on this

I hope this helps, and I only wish I had managed to perform this analysis without the benefit of hindsight

I would put a target of 1.1560 (38.2% fibo of the current downmove) and then expect a further fall

08-11-2003, 09:30	#2 (permalink)
albion level 3 Join Date: Sep 2003 Posts: 125 Rep Power: 0	Ive been thinking about that, (I lost 70 pips on Fri) and I have arrived at the following possible solutions, let me know what you think. 1. there was an anthrax scare in the US on Fri morning 2. 8 soldiers and a helicopter down in Iraq late Thurs These are both USD negative and although they didnt affect the markets straight away they clearly weighed on sentiment 3. USD carries significant event risk over the weekend, as we have seen with 1 and 2 and the EUR is seen as a 'safe' currency 4. 1.14 seems to be a 'sticking point' on EUR/USD if you look at the daily charts on the way up and down, im not sure why, maybe fibo has something to do with it, maybe someone could shed some light on this I hope this helps, and I only wish I had managed to perform this analysis without the benefit of hindsight I would put a target of 1.1560 (38.2% fibo of the current downmove) and then expect a further fall