All aboard the fickle world of forex rollercoaster

FX pairs springing back to life after a quiet start 6 MarchUSD generally soggy all day with the DXY posting biggest single day losses since 15 Feb but then cue the North Korea olive-branch headline and it’s all been a bit livelier.
As I said in the post, and my wrap, the perception that some sort of peace can be brokered has brought risk appetite back and shaking out some yen longs in the process.
USDJPY has been up to look at 106.50 in a rush with yen pairs all posting rapid gains as a few traders and bots run for cover, for the moment at least.
That demand has accelerated moves in core pairs with GBPUSD up to 1.3910 after kicking its heels around 1.3850-60 and EURUSD finally get back up through 1.2400 too.
EUR demand and risk appetite has helped underpin EURCHF above 1.1600 and that in turn is helping support USDCHD on its retreat
Similar stories on AUDUSD as AUDJPY demand and USD supply send the pair from 0.7770 to 0.7823.Keep an eye on the clock though as we have large options rolling off at 0.7800 later.
USDCAD failed at 1.3000 again and has not needed any excuse to give up recent gains to fall back through 1.2960 triggering stops to post 1.2925  CADJPY demand leading the way.
A classic combination of a headline having an amplified algo-led effect and once those scales were tipped the rush for cover was underway.
Will we cap up here sometime soon on yen pairs and associated core pairs? Well I’d expect USDJPY to struggle to go much higher with inherent yen demand on trade concerns and yea-end repatriation but USD supply should help keep core pairs underpinned.
Welcome to the wonderfully fickle world of forex. Again. Article Source

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