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The markets start the year with high volatility, similar to how last year ended.
The GBP was the big mover. The pair finally broke to new lows and looks like it triggered stop orders driving the pair down rapidly. The only news on the docket was a weak PMI that would hardly be the catalyst for such a move.
This is one scenario where I won't be looking to sell GBPUSD on the bounce. The low liquidity indicates to me that there may not have been substance behind the move, offering value buying opportunities Hence I remain biased on the short side on pairs like the EURGBP..
The GBP was the big mover. The pair finally broke to new lows and looks like it triggered stop orders driving the pair down rapidly. The only news on the docket was a weak PMI that would hardly be the catalyst for such a move.
This is one scenario where I won't be looking to sell GBPUSD on the bounce. The low liquidity indicates to me that there may not have been substance behind the move, offering value buying opportunities Hence I remain biased on the short side on pairs like the EURGBP..
