Trading Day 10/26/06

Was away from my trading desk yesterday (Wednesday)-- probably just as well since the Fed interest rate announcement was scheduled for 2:15 PM -- I didn't think much was likely to happen before then.

Looking back, however, it appears that traders correctly anticipated the continued pause mode of the Fed and steadily bought EUR and GBP all day long.

With both currencies up more this AM, I waited until they pushed through today's high before buying. EUR and GBP edged up and then stalled. Not wanting to suffer through a so-so move, I exited both picking up 19 pips.

Now, I'll stand aside until a definitive move appears.