data were better than expected. This is the second week in a row that stocks have jumped after a good jobless claims report.
This forced market makers to undo their bearish positions, so part of the market’s rise might be because of this “volatility crush.”, which has gone up over the last few days. We often see that when the USD/CAD hits a low, thetends to peak, and the opposite is true, too. So, it’s essential to keep an eye on whether the USD/CAD keeps rising.
A move up in the USD/MXN is a risk-off gauge; if the USD/MXN continues to fall, it is a risk-on indication.The price movement in the last few days has been pretty interesting. Trading volume has been really low, and the difference between bid and offer prices has been quite wide.
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