Written by admin
Thursday, December 4th, 2008
Bank Flows Light
As we begin the holiday season we continue to see volatile swings as more economic data is released and persistent uncertainty about the global economy. The Bank Flows remain light and liquidity has not returned to a normal level.
On Friday of this week we have US Non Farm Pay Rolls and also Canadian Employment data which have both been know to be volatile movers.
We have a new Bank Flow level to watch today. On the USD/CAD there are sells setting up at a former resistance level at 1.2720 to 1.2740. On a test of this area we will look to short the CAD expecting to lock in as soon as we can for a swing back to the mid 1.2400’s.
GOOD RISK MANAGEMENT
As usual you should be aware of the ongoing instability of the current trading environment. I would suggest that you have a good risk management system in place and use proper leverage so not to jeopardize any profits you may have made.
