Larger Correction News Today

Failure to hold above the 50-Day SMA (134.13) may lead to a larger correction if USD/JPY trades below the moving average for the first time since March.

The limited reaction to the Fed’s semi-annual testimony may lead to a near-term correction in USD/CAD as the RSI reverses ahead of overbought territory.

Developments in the RSI raises the scope for a larger pullback in USD/JPY as the momentum indicator establishes a downward trend.

In last week’s Reducing Risk post we discussed why we reduced risk in anticipation of a pullback in the markets. However, there are some warning signs which beg the question “is a larger correction coming?" Please share this article - Go to very top of page, right hand side, for social media buttons. A Tough Start What started out as a promising January, didn’t end up that way as markets dipped into the red for the year. More importantly, February tends to be a weak month which suggests ...

In last week’s  Technically Speaking post we discussed why we reduced risk in anticipation of a pullback in the markets. However, there are some warning signs which beg the question  “is a larger correction coming?” A Tough Start What started out as a promising January, didn’t end up that way as markets dipped into the red for the year. More importantly, February tends to be a weak month which suggests the selling may not be over just yet. Such is particularly the case, as we will d...