EURUSD is overvalued still...and so is GBPUSD and NZDUSD whereas AUDUSD is undervalued - possibly...thus, AUDUSD may not depreciate as much as others. On the hand, USDCAD and USDJPY, speculators were on short-positions to prevent prices going excessively high prior to the announcement... I guess that's all I can say...for further analysis, I will leave it you. There will be high volatility in prices at the announcement, so better to set your limit/stop orders far away from the spot price. Maybe at previous day closing...anywhere that looks safe. Good luck guys
I won't be in anything around the FOMC announcement..been burned too many times before with it running one way reversing on a dime running the other.
News after the interest rate rise and Future prospect of US dollars Gold moves lower as Fed hikes interest rates http://www.marketwatch.com/story/gold-crawls-up-from-10-month-lows-ahead-of-fed-decision-2016-12-14 Fed lifts, sees three increases in 2017 http://www.afr.com/news/economy/mon...s-see-three-increases-in-2017-20161214-gtbejl 4 ways the U.S. Federal Reserve rate hike could affect Canadians http://www.cbc.ca/news/business/federal-reserve-interest-rate-canada-1.3894470
Now, my eye is now on Pound. There is interest rate decision later during European session. If they stay at the current interest rate, they're likely to face the same fate as EURO - depreciation. Pound pairs GBPUSD EURGBP GBPJPY GBPCHF GBPAUD GBPNZD
Just as I expected that the Bank of England did not change the interest rate Long Eurgbp Short gbpusd, gbpaud, gbpcad, gbpjpy and gbpchf Happy Boxing Day everyone
But unlike eurusd last week, sterling pound has recovered and is currently strengthening again. So when interest rate is unchanged it has temporary impact after all. I don't know why euro had bigger negative impact last week when they did not change interest rate...
No , in my case, I set them only for day trading. In case of news driven trade, I don't because of the initial excess volatility
The effect of US rate rise on Forex US rate rise: Should Asia worry? http://www.bbc.com/news/business-38324977 p.s. I've never enjoyed reading business section. I'd tried because my study is finance but it was difficult without a good motivation. But now I am really enjoying reading them as if reading sport section.