Somebody asked the question yesterday where we get our information on where all the big orders are. Speaking for myself, and I’m sure its the same for Jamie, Gerry and Sam, I have a network of contacts and friends who work in major banks and hedge funds. They in turn speak with their network and exchange information on who is doing what and why. Some people naturally will have a vested interest in skewing the information one way or another in order to support whatever position they might be holding but in the main we can generate a pretty accurate picture of where the big levels are.
In addition, the interbank trading platform will usually show how much interest is on each side in a particular currency pair. For instance in USD/JPY both yesterday and on Monday, the interbank market could see that there were very large amounts on the bid between 90.10/20.
