Big money EUR/USD triggers for shorts at 1.0810 says UBS

<p>A UBS note nominates a breach of 1.0810 in EUR/USD as a trigger for Commodity Trading Advisors (CTAs) to shift into short positions. </p><ul><li>say its a key level of clustered CTA triggers, and three are more if the euro falls below there</li></ul><p>UBS say that CTAs are already short kiwi $, Chinese yuan and yen. </p><p>A glance at the chart of EUR/USD shows that 1.0810 is a bit of a level, but is it really that critical to turn short? Looks like that ship has sailed IMO. </p><p>—</p><p>A Commodity Trading Advisor (CTA) can be an organization or individual.</p><ul><li>provides advice and services related to trading in commodity futures contracts, commodity options, and other derivatives</li><li>can also manage client portfolios entirely</li><li>executing trades on behalf of clients</li><li>consulting services (risk management and such)</li></ul><p>CTA utilise various approaches including:</p><ul><li>fundamental analysis </li><li>technical analysis </li><li>quantitative methods </li><li>or a combination </li></ul><p>CTAs are regulated by the United States' Commodity Futures Trading Commission (CFTC) </p><ul><li>must also be registered with the National Futures Association (NFA) if operating in the U.S.
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This article was written by Eamonn Sheridan at www.forexlive.com.