624
« on: May 06, 2016, 07:47:50 pm »
The NFP result does not affect markets as much as it used to a year ago but it does affect the currencies. This may only last for 2 to 3 trading days.
The poor results caused the exodus from the USD perhaps due to the expectation that the FED will now not raise the interest rates next month.
This may also mean that the EM's will come back in favour to an extent but time will tell as USA bad news is bad for all markets.
The chart below is typical of FX news trading where panic sets in and sends the pair in the wrong direction. The pro's and con's are then mulled over and then clever money climbs in.