I am going to make this quick as i have to travel back to the motherland this afternoon.. First lets give a round of applause to our president, second lets talk dollar. As Greece approaches end game those who still have not covered their dollar shorts are racing for cover today.
Last night i posted a very simple chart highlighting a peculiarly large buy in DX futures at 22:04hrs (399 contracts), normally at this time of the night volume is around 10-20 contracts a minute. Also
worth noting was the bid raising offer raising decrescendo trading pattern which preceded this move.
This buy signal foreshadowed one of the largest intra day dollar moves we have seen in quite sometime. As a reaction to dollar strength we saw equites index futures and crude oil offered all the way into the close of regular session. Correlations come and go as the wind blows though recognizing patterns in correlations can provide a trader with confidence in their trading thesis. Before DX closed today she was up 1.9% as the NDX was down 1.9% and ES down 1.9% and CL down 4.4%.
As for tomorrow, time will tell. below is 1 min chart of the ES today..
|1 min ES|