They started to worry about recent HUF
strength, so they launched a verbal intervention today (without mentionning FX target NBH announced they are ready to deploy more non-conventional tools in case they see a threat to their inflation
target -> Translation: if EURHUF
goes lower, inflation
target is in danger + some problem on reserves end of year valuation if it goes below 300-302). Yields down, and EURHUF
slightly up from 302 low. Will it reverse? Not sure, but few technical signals suggest drop may come to an end.
key supports are at 304 and 306.
- Heikin-Ashi is less bearish: candle today has long wicks, and haOscillator crossed up. -> some indecision
- Possible bullish wedge
too, here we have to watch if starts to show bullish divergence
Strategy: My original target was 295-300 range. But now I see it's better start reducing HUF
Cut all shorts above 304 and/or open initial swing long positions. Go long above 306.