Yesterday it was firing on all cylinders.Today, the relation trade has run out of gas. A filling station could be right around the bend, but the market has not spotted it yet.
AUD/USD is emblematic of the slump. After surging to the 0.7475/80 region little more than an hour ago, prices have pulled back sharply, triggering stops below the 0.7430 level. More are eyed below the 0.7380.
USD/CAD is a similar story while commodities and stocks are also seeing similar price action. The news is good but markets appear to just have gotten ahead of themselves.
