EUR/USD spike lower likely driven by Algo players

View Comments

The most illiquid time of the day in the FX market is the two-hour period just after the NY close when Australia and New Zealand are pretty much on their own. If you see some sharp 10/15 pip spikes in any currency pair during this time, then its probably an Algo fund trying to push the market around for a very short-term profit. They usually pick on more illiquid pairs like cable and USD/CHF, as all bullies like to pick on weaker opponents.


All|Asia Pacific


Sean Lee


  1. great info Sean…
    what are algo’s strategies? here they have pushed down here for what? SL hunting?


  2. Hi Powerpip, simple bullying tactics, they try and pick a weak side where s/t stops might be sitting and jam the mkt through; not sophisticated but effective!

  3. Hi Sean, kinda the same question as powerpip… was the spike down pip hunters? Do Algo’s have the ability, as set by the users to make that sort of move?

    Thanks for the great job!

  4. cooooooooool………. :)

  5. Almost all big Boys with endless balance do exactly very same thing. In periods of already done move, they push for some more 10-15 pips to spread confusion. Btw: when You look at cable daily chart we can think that some nuclear bomb ruin half of UK in past three days! All longs of this world are wiped. Time for galoping upward?

  6. Very helpful information and wanna just say THANX, Sean! In fact, i can already go to bed: TP level touched! Algo players then… well… good night to all! Greets!

  7. Are they algorithmic trading?

  8. And some wonder how Goldman and friends can only have a single losing trading day. With nearly infinite free Fec and taxpayer money – they can’t loose. Unless they do something really arrogant – similar to the JPM London bozos. If they would only cut off all this free money to the biggies…

  9. Yes Demetris


© Copyright 2015 ForexLive™  |  Advertise With Us  |  Login To Comment  |  Sitemap

HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all of your initial investment; do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.

ADVISORY WARNING: FOREXLIVE™ provides references and links to selected blogs and other sources of economic and market information as an educational service to its clients and prospects and does not endorse the opinions or recommendations of the blogs or other sources of information. Clients and prospects are advised to carefully consider the opinions and analysis offered in the blogs or other information sources in the context of the client or prospect's individual analysis and decision making. None of the blogs or other sources of information is to be considered as constituting a track record. Past performance is no guarantee of future results and FOREXLIVE™ specifically advises clients and prospects to carefully review all claims and representations made by advisors, bloggers, money managers and system vendors before investing any funds or opening an account with any Forex dealer. Any news, opinions, research, data, or other information contained within this website is provided as general market commentary and does not constitute investment or trading advice. FOREXLIVE™ expressly disclaims any liability for any lost principal or profits without limitation which may arise directly or indirectly from the use of or reliance on such information. As with all such advisory services, past results are never a guarantee of future results.