06 June 2013

SP 500 and NDX Futures Daily Charts - Yen Carry Trade Dipsy Doodle

There was some significant technical action today as currency traders bought yen and sold the dollar in an unwinding of the big Dollar-Yen carry trade.

This sent stocks reeling to the lows around their 50 Day Moving Average, but they bounded back to gain ground again into the close and went out near the highs.

Tomorrow is Non-Farm Payrolls. That will set the tone into the weekend.

Bad is good, good is bad, and in-line is a tossup, but watch the revisions for the prior two months.