Trade Idea: Fade the strength
Posted: 2017-04-24 10:44:00With a huge move to the upside in many European assets following the French election results, many will be looking to book profits.
With that in mind, dealers are questioning how sustainable these gains are.
Euro key resistance at 1.0910 would have to be re-broken in the regular European or American trading hours dealers suggest to support a game change in favor of a broader and more sustainable recovery to 1.1025/97 (daily trend/pivot) if not to 1.1300/16 (November 2016 high/int. 76.4 %).
This will be a difficult proposition given the moves overnight.
Trade Idea: Fade the strength in any asset that has moved big in the overnight.