Forex Daily Market Commentary – Not

Daily market commentary gets a little dry for me.

With Wednesday’s Fed announcement looming, it makes little sense delving into too much else – short of suggesting patience, patience, and oh yes…….a little more patience.

The news of Larry Summers dropping out of the running for the “New Fed Chairman” has hit news headlines across the globe, yet I’ll bet you 50 bucks you had absolutely no clue “who he was” – or would have cared much anyways. Me neither frankly.

When we step back and consider that Ben Bernanke has pretty much filled the role as ” the most important and influential man on planet Earth” for some time now – would you want that job?

Kong appointed Chairman of the U.S Federal Reserve – could you even imagine?

Forex trading is stressful enough at times, and I’m always up for a new challenge – but could you actually imagine walking into the office on your first day as Fed Chairman and just picking up the ball and running with it? No thanks.

As it stands, the word on the street is that this “Janet Yellen” is all for the printing presses ( surprise , surprise right?) so obviously she fit’s the bill quite nicely. After all – why on Earth would the Fed ever jeopardize loosing their biggest client ( the U.S Government) to some “half cocked Obama boy” like Summers. NEVER GONNA HAPPEN.

This gal is deep , deep , deep in someone else’s pockets – and I don’t mean that in a good way ( could that be in a good way? ).

Personally, I’m not particularly “thrilled” with things being on hold here any longer. The gap in USD action has provided a couple of scalp opportunities  but has also done a great job of further “blurring” further USD direction. Most charts / asset classes I follow suggest “some kind of USD bounce” but this tempered with the fundamental fact that Yellen is 100% on board with money printing.

The market’s reaction on Wednesday is really only a small part of the puzzle, as debt ceiling / default issues come next.

When does it end?

It doesn’t.

4 Responses

  1. JSkogs September 16, 2013 / 5:48 pm

    Ya I am tired of being patient. I have been squeezing some money out here and there but I want to get on with it. Judging by some of the candles out there I’d say its looking like slight taper announcement….dollar farts around a bit at the previous lows due to longs tiny bit of disappointment, stocks fart around at the highs and then things start to get interesting. I’m not anticipating that much volatility. Judging by the relative positioning of stocks and currencies I’d say the market kind of knows what is up.

    OR I am a moron and just used the word fart too much in the previous paragraph. Good luck!

    Kong, are you getting hurricane’d?

    • Forex Kong September 16, 2013 / 6:04 pm

      Hurricane is a bit north of me…and has more or less passed – windy here but nothin big.

      Ya tell me about – I’m tired too man – sideways/flat is a bad place to be for any length of time, and this is about the longest , worst , drawn out , POS market I’ve seen in a long time. LETS GOOOOOOOOOOO!

      So much indecision, so many questions , so many variables.

      As it stands here tonight..this minute…..I expect things sell off “into” and possiblely “past” the Fed speak Wed….but as we’ve discussed here a number of times – the printing presses CANNOT BE SHUT DOWN so…….

      As bizarre as it sounds “fundamentally” – the inflation of equities prices may just as well continue until it just can’t go any more.

      Where that is? In a market as manipulated as this…..its “where they say it is”.

      • JSkogs September 16, 2013 / 6:21 pm

        Glad to hear all is safe.

        Ya I think stocks in a month or so, maybe even less, will probably continue their trajectory upward for the exact reasons you just stated. But, we have already seen substantial corrections over the past few years amidst QE. I’m in the correction and then stocks back up camp…probably dollar down depending on other central banks.

        Got a letter from my commercial lender today stating that commercial debt to income ratio’s are at 163.4% which is a hair shy of previous levels preceding our lovely recession. So, you would think this will lead to more softening…..and then more easing…rough on the dollar….where do you hide?…Gold again, stocks, bonds blah blah……back to the beginning! haha I need a drink

  2. schmederling September 16, 2013 / 8:53 pm

    USD/CAD 4hrs squeeze in the chopping block now… has been running now for some 48hr or so….. we have the 8hr moving into a se-up…… on a shorter TF the 30min is looking like a positive fire for the pair should fire off soon…. should close the GAP left from this morning & then it’s on to the 4hr action….

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