My whole worldview for weeks has hinged on the 872/875 resistance zone in the S&P 500. I expected either a big break through that level which would breath new life into the reflation trade or a colossal failure which would keep risk aversion high…. what do I get instead? Two closes right in that window which keep the market in a muddle.
Just move, that’s all I ask.
Very choppy trade within existing ranges has been seen in EUR/USD today while the JPY crosses are suggesting the reflation trade has some legs.
USD/JPY barriers at 100.00 could become a target in markets that are thinner than normal on May Day. We’ve traded as high as 99.58 and change hands now at 99.30.
