9th August -Fire and Fury – Lets sell risk !

By | August 9, 2017

The North Korea Tensions stepped up in no uncertain terms with Trump wanting to unleash “Fire and Fury” and North Korea looking at taking Guam off the map.  S+P which looked like breaking range highs, reversed with serious momentum, to set up a classic bull trap. On daily charts it also printed a nice bearish outside range day…. almost a key reversal.  Market is set up to test range lows at 2460, and a  break here looks ominous post the bull trap. Techs have  initial short term targets down to 2440 ( 20pts – width of range).  Short with stops above 2480 look the play. While risk off mood is in swing… risk crosses in currency space also worth hitting. AUDYEN  double top now confirmed. A trip down to the 50 DMA @ 85.60 the first target. NZDYEN breaking 80.00 should be a decent pain trade for a market heavily positioned kiwi and short yen and could see serious unwind. Market hasnt sold risk for a long time and might find out its a lot more fun than a bullish grind higher.

ps.. SPI wrong price at 5760!