So the Eurozone PPI had a 1.2% MoM increase in june vs. 0.9% expected. I guess that would make Trichet even more hawkish come ECB rate decision time eh? I guess not, since the euro sold off in response to this upside surprise. I mean wtf? All I can come up with the euro was overshot before the announcement or eurozone PPI just doesn't mean jack s&#$. Anyone care to explain this one to me? Thanks.
Don't worry. 7:45 to 8:30am tomorrow could see some massive swings. I think the market will act illogical until after all these critical economic reports are digested.
There's significant "gaming" in the markets. Therefore we traders can often not see the link between news and market reaction. All the more reason to be a technical trader.
Yeah, I've just about calmed down since I got stopped out of that one. It was my mistake... Everyone was saying to buy dips on the Euro and it did just that. Dip then recover. Had I followed my trading rhythm previous to that release I would have been plus 80 pips instead of minus 20... argh. Thanks guys.