Big TradFi Trades You May Have Missed This Week
ICYMI, here are some big trade setups that were filled during this past week (Feb 23-27).
Did you miss out?
1) Brent Oil finds immediate support at 21-day SMA, perfectly
"UKOUSD may tumble and test its 21-day simple moving average (SMA) for immediate support if the US and Iran signal positive developments that eases geopolitical tensions and oil's supply-side risks."
@ 12:29PM UTC, Oman's foreign minister, Sayyid Badr bin Hamad Al Busaidi, tweeted that "creative and positive ideas" were exchanged between US-Iran.
By 1:15PM UTC, Brent oil (Bybit: UKOUSD) tumbled down to its 21-day SMA, before rebounding perfectly off that technical indicator to climb back above $71/bbl, with US-Iran talks set to resume next week.
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2) USDJPY+ hits 156.60 - pretty much as good as it got for bulls this week
On Monday, Feb 23, USDJPY+ listed among "3 Assets to Watch: Feb 23-27" - when we drew the 156.60 line as this week's upside target for this G10 FX pair.
By Wednesday, Feb 25, the Yen weakened against the US dollar (USDJPY+ rose) to briefly breach that 156.60 target.
The Yen declined after Japanese Prime Minister Sanae Takaichi nominated Ayano Sato and Toichiro Asada to join the Bank of Japan's (BoJ) board. Both Sato and Asada are academics who are viewed by the markets as being more dovish (not so keen for the BoJ to raise rates too quickly).
NOTE: A currency tends to weaken at the idea of interest rates staying lower/not going up as fast.
Today (Friday, Feb 27), despite Japan's inflation data coming in higher-than-expected (revisit economists' forecasts that we shared yesterday - Thursday, Feb 26), the Yen's advance (USDJPY moves lower) has been halted around USDJPY's 50-day simple moving average (SMA) - see chart above.
In short, the upside target of 156.60 (shy of about 22 pips) was just about as good as it got for USDJPY bulls (those hoping USDJPY can go higher) for the week.
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3) Nvidia delivered for both bulls and bears post-earnings
This past Monday, Feb 23, we included Nvidia in our list of "3 Assets to Watch" this week.
After US markets closed on Wed, Feb 25, the world's most valuable company announced its latest quarterly results - which came in better-than-expected.
Despite briefly soaring above the $200 level, the immediate post-earnings reaction showed respect for our $196.80 upside target.
When US markets reopened on Thursday, Feb 26th, Nvidia tumbled 5.5% during the day's "cash session".
Yesterday's 5.5% drop fulfills what we wrote at the onset of the week (Mon, Feb 23):
Nvidia's share price could fall over 4% if the company's earnings outlook fails to dampen fears that today's aggressive AI spending will not produce the desired ROI anytime soon.
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Did you miss these too?
Also this week, there were new record highs for Asian and European stock indices. Catch up on these big market moves here (published Wed, Feb 25).
For a closer look into the TradFi world, re-watch this livestream from Tue, Feb 24th with trader, influencer, and KOL, Brandon Hong, and Bybit's chief market analyst, Han Tan.
