How many times have we seen risk rallies fade in early US hours? Many. I get nervous when the markets are firing on all cylinders before the cash markets open in the US.
S&P futures head into their 15-minute close before the open up 1.4%. Oil is up nearly $2 bucks after reaching $81.00. The CRB is up 1% but US bond yields are barely moved, near record lows on the short-end of the coupon curve.
If you find yourself caught short, a little patience may pay dividends if this risk rally peaks early. 1.3055/60 remains support on dips near-term while the Fibo at 1.3125 remains a force to be reckoned with. EUR trades at 1.3115.
