04 December 2015 by lberuti
After the big moves experienced by the markets yesterday, today’s session was all about consolidation. The NFP published early in the afternoon only served to comfort people in their belief that the FED will hike the rates at their next meeting and they did not bring an awful lot of new information. As you can see on the above grapple, most credits traded sideways and there was no follow through of yesterday’s sell-off. This sell-off does not necessarily means that being long risk is not the correct trade at the moment, but it certainly is a reminder that being long risk at the current levels, when the main reason to be so is to rely on the ECB to “over deliver”, is a dangerous proposition.