USD/CAD: news flow leaning bullish — the net read
USD/CAD did not get one story today, it got several, and they do not all point the same way. Weighed against each other — new against old, and tracking which ones have already faded:
++ Gold at $4,357 faces resistance wall in bearish regime: Live levels
++ Treasury yields move lower after Fed kicks off hiking cycle
+ Hawkish Fed lifts dollar to seven-week high; markets brace for BOE, BOJ
81 stories were weighed in this window; the 3 carrying the most weight are listed.
Net read: +++ leaning bullish — top of our scale.
What this is: a measure of which way the *news* is leaning right now — not a promise about price. A read being right and a read still being worth taking are two different things: once price has travelled a long way from where the read was published, it is stretched, and a lean that is stretched is a no-chase rather than an invitation.
Weight is not fixed either. A fresh headline lands, the balance tips, and the net read can flip inside an hour — that shift is the part worth watching, not the first print.
I will post an update under this idea once the market has had time to speak, either way.
(Informational only — not financial advice, not a signal.) GBP/USD | What comes next?Same as EURUSD, GBPUSD also experienced a massive drop following the FOMC statement, dropping heavily, going as low as 1.3369 and then recovering a bit, currently being traded at around 1.3395 level, in between the two 4H FVGs.
I expect GBPUSD to retest the 4H FVG from 1.3399 to 1.3427 and break above the 1.34 resistance, then going for the FVG C.E. at 1.3413. Considering the news coming out in an hour, and if it comes in favor of GBPUSD, I'd expect Cable to break above the C.E. and then go above the 1.3427 level.
However, if the news comes out not in favor of GBPUSD, further drop towards 1.3333 level is expected to sweep the liquidity pool there. EUR/USD | Massive drop following FOMC - Now what?Hello folks, hope you are well, Amirali here.
As you can see in the 4H chart of EURUSD, it dropped massively after last night's FOMC announcements and swept away the sellside liquidity below the 1.1511 and 1.1500 levels respectively, and went as low as 1.1456, just 1 pip above the next pool of sellside liquidity, and then it bounced back up, currently being traded at around 1.1475 level.
I expect Fiber to retest the 4H FVG and be rejected, going below the 1.1455 level to sweep the pool of liquidity there and then bounce back up, retesting the 4H FVG once more and this time overcome it, going above the C.E. at 1.14995 and then break above the 1.15 resistance.
However, if Fiber fails at bouncing after sweeping the liquidity below the 1.1455 level, further drop towards the 1.1434 and then 1.14 level is expected.
Long
