Macro Dragon: Snapshot & Post-FOMC Price Action…

Macro Dragon: Snapshot & Post-FOMC Price Action... by Michael McKenna
Macro Dragon = Cross-Asset Daily Views that could cover anything from tactical positioning, to long-term thematic investments, key events & inflection points in the markets, all with the objective of consistent wealth creation overtime.
(These are solely the views & opinions of KVP, & do not constitute any trade or investment recommendations. By the time you synthesize this, things may have changed.)

Macro Dragon: Snapshot & Post-FOMC Price Action… 

 

Snapshot

  • Interesting or not?: You know the Dragons skew on examining the day to day sessions, there is a lot of noise & very little signal – unless you’re a market maker or/& day scalper, it’s almost a negative convex exercise.

  • We tend to read patterns into things & events that are really just random on the broader meta trends. Its actually a function of our DNA, as well as social upbringing.

  • With that in mind, not often you see gold pull back by -3.7% whilst silver outperforms on the downside with only -3.5% – hmmm… Also BTC back at -2.6%, yet like the other two… keeps basing higher… bullish break-outs still higher. As in all things a session or two, do not a trend make nor break.

  • DXY 92.9280 big reversal (after initially hitting new lows over the last 2 days) with a +0.67% pop carried firmly across EURUSD 1.1857 -0.78% & USDJPY 106.03 +0.67%.

  • Energy meanwhile cool as you like with WTI pretty much flat at 42.49 & Brent 45.00 a touch lower at -0.20%. Copper on the other hand pretty strong session with +1.6% to 298.30.

  • Bond yields initially came off, yet are off the lows with 10s at 0.66% & bond Futures at 139-14, +6bp this Asia morning.

  • Here is the link to the minutes

  • As always for our VIPs feel free to reach out to our Global Sales Trading desk, as well as potentially speak to some of my excellent peers from the SaxoStrats squad. For those interested in our unique VIP offering, please reach our to your friendly relationship partner at Saxo. 

  • The Dragon will be back wk of Sep 7th, may the trading & investment winds of global macro be in your favor.  

Anthems – worth making some time if you have not already:

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To Keep In Mind Today

  • CH: Trade Balance
  • EZ: GER PPI, ECB Minutes
  • US: Philly Fed Mfg. Index, CB Leading Index, Nat Gas Storage

Remember tmr is Flash PMI Friday across the board

Start-to-End = Gratitude + Integrity + Vision + Tenacity. Process > Outcome. Sizing > Idea.

This is the way.

Namaste,

-KVP

 

Topics: Macro AUD JPY CHF EUR GBP NZD Bonds Gold Apple USDTRY USDNOK EURNOK USDMXN FX Technical

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