1000px-Citi.svg_The Yellen testimony looked pretty neutral to me in the context of three rate hikes priced for the next 13 months. She is not dovish but she doesn’t seem to be getting sucked into the regime change in inflationary psychology (yet). The dollar is hitting some supply on profit- taking but remains pinned to the highs.


We like EUR lower but we don’t like USD higher. We are going short EURJPY here (117.05) with a stop at 118.11 and we’re buying 12DEC EURJPY downside. This EUR view doesn’t match very well with our EURCHF ‘long at bottom of range’ view but as a portfolio we don’t mind short EURJPY and long EURCHF or a quasi CHFJPY short via the legs.

Going short on EUR/JPY from 117,05 to 114,20
Going short on EUR/JPY from 117,05 to 114,20

Also the SNB tends to accelerate its intervention program when the ECB gets more dovish so we are going to hold on. We realize that 99.9% of readers don’t care about EURCHF and we apologize for wasting so many pixels on it 😉

Citi puts limit order on EURCHF
Citi puts limit order on EURCHF

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