Our friends over at Citibank have been quiet for a few weeks. They had a bit of trouble with the timing of their trades and like any good trader, they took a break. Now they’re back, let’s see if they’re back in form.
They have gone short EUR/USD at 1.4050 with a target at the 200-day MA at 1.3320 and a stop-loss above 1.4210. I hope they are taking China’s manipulations into account. I like the trade anyway and the risk/reward is excellent.
On a related note, they are also calling for a significant retracement higher in the VIX.
