It’s hardly the best kept secret in the markets though is it. They’ve been advertizing it now for a wee while.
If you’re a Swiss exporter the last thing you want is an aggressively strong currency. Those guys carry an awful lot of clout out there & have been hurting for a while now. They’ve also been actively voicing their displeasure at the total lack of action from government & central bank avenues to stem the tide. If (as a gov’t or central bank official) you want an easy life then you don’t ignore the guys who bring prosperity & money into the country!
Yeah, that’s the type of activity I’d want to see as a bare minimum.
Other folks might be different, but I don’t attempt to pick tops or bottoms on any timeframe, or try to front run prices just to get a head start on a move.
I want to see some clear evidence that the market is at least attempting to arrest a strong directional shift. And one of the favorite signs (for me anyway) is the capability to begin building some kind of base.
A higher low & a higher high (in this instance at the very least beyond 1.61 on Cable), would be a minimum consideration for me.
You can begin feeding in a small stake to test the intent & then add in when you receive further confirmation that it’s attracting larger bets. By no means does that route guarantee the downside is done, but it’s a tried & tested method that these guys have advised over the last 4 years & that’s been good enough for me.