Trade Flash: Partial Exit of USDJPY EURUSD and Gold

Exited 2/3rds USDJPY at an average of 78.46... +156pips average (having waited for the further move at on US time)
Exited 2/3rd EURUSD at an average of 1.3098... +88pips average

Exited 1/3rd XAUUSD (Gold) at an average of 1733 +6 points average

 

We did not expect all of these trades to make money, such is the business of hedging. This unnerves us as USDJPY has begun to correlate with risk assets (rationale being that the Dollar is more exposed to Europe, the only driver of risk in these markets, than the Yen), not an eventuality we had prepared for ab initia.

 

Still, we sit on a net position of long XAUEUR and long USDJPY - something we are very comfortable with since not only are our friends in Japan finally throwing their weight around with decent size and conviction, but also the EUR is looking particularly rich as conditions in Greece worsen daily. We are well overdue a pullback, however shortlived.

I would also recommend a tight stop on the EURUSD - any news of Greek EMU exit could well rip this to the upside as investors finally shake off the shackles.