9 Dec 2014
Traders winding down positions due to holidays? – Investec
FXStreet (Barcelona) - The Investec Team notes that yesterday’s trading saw random moves in spite of little significant eco data, and with the unwinding of EM currencies it looks like traders were squaring positions ahead of holidays.
Key Quotes
“With little out on the calendar yesterday, the day’s trading was punctuated by sharp and at times, random moves in the G10 and Emerging market currencies as overcrowded positions were unwound. It seems that traders are winding down positions ahead of Christmas and the New Year by squaring any long positions they hold.”
“Meanwhile there was a sea of red in the equities market as the risk off sentiment took hold with the old fashioned safe havens of JPY and CHF making gains while risk sensitive currencies such as AUD and NZD struggled during yesterday’s session.”
“Sterling meanwhile opened a touch below 1.5700 and 1.2700 against the Dollar and Euro respectively, as it continues to trade within recent ranges.”
Key Quotes
“With little out on the calendar yesterday, the day’s trading was punctuated by sharp and at times, random moves in the G10 and Emerging market currencies as overcrowded positions were unwound. It seems that traders are winding down positions ahead of Christmas and the New Year by squaring any long positions they hold.”
“Meanwhile there was a sea of red in the equities market as the risk off sentiment took hold with the old fashioned safe havens of JPY and CHF making gains while risk sensitive currencies such as AUD and NZD struggled during yesterday’s session.”
“Sterling meanwhile opened a touch below 1.5700 and 1.2700 against the Dollar and Euro respectively, as it continues to trade within recent ranges.”