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December 17, 2018 - Institutional Positions & Supply and Demand for the FOREX market

The positions below represent the institutional positions held as of December 11th, 2018!

Markets are currently not producing much in terms of volatility and I have a strong feeling it’s because most big players are not interested in making big moves right now. Even with the #usd rate being released this coming week I don’t feel like it will be enough to kick start any serious moves. They have been profit taking over the last few months and preparing for much larger moves that are to come but I don’t think they will make these larger moves until the new year. When examining the major’s currencies along with #gold and #oil there is a much larger picture playing out and this year had a specific role to play. The start of the years purpose was to profit from moves the led up to it. The first two quarters of the year continued with profit taking on those original moves while slowly accumulating positions on the opposite side. This last quarter has been taking profits on the opposite side to force price to reverse and allow a much larger opposite position to be accumulated. I hope you’re still following along here because this is key to understanding why price is about to play out the way in will in the coming year. I believe 2019 will be the year for the much larger move that is currently being setup.

Our patience now will be rewarded when the moves are set to take place in the new year. While many traded the markets during uncertain and sporadic movements on the charts and lost we have only entered when times were right and on our side. We have not been presented with many favourable market scenarios this last half of the year and understanding the larger picture makes the reasoning very clear. The portfolio has stayed positive this year despite the conditions and we are well prepared for what is to come. Watching the #audusd and #nzdusd for continued weakness and any indication that short trades should be had. Also will be watching #gold for a rally and then short trade signals to present itself.

The #dollar has been strong into this weekend but I am thinking they are trying to sucker in more longs potentially for a move lower. Still watching and holding to see what takes place and the timing of this move higher is just too tricky to consider it seriously. Watching and learning while waiting for new signals to present themselves.

Magic Trader!



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