If I had wanted to take a short, yesterday would have been the best opportunity. Look at the USDX. It hit the support, shot through it and I was taken back by how deep the sell off was! I was expecting a fake out as the banks would reverse their net short to long. It did come London session. I had already taken a long Cable and did not wait to play the hero to time highest top exits preferring on scaled profit taking.
On the daily usdx, there is still room for usd to rally at least into the resistance and I sm suspecting NFP will make or break USDX. If you short gold and in front, it is prudent to scale off prior to NFP. I never like these strictly coin flip odds even with little money at stake or small stops. It does not matter on stop size because each trade should be weighted on same $ risk so the small stop give a misleading perceived small loss if the trade cannot survive any spikes. A loss is a loss and trading NFP is the gambling version of casino red or black. The green zero is when the NFP is uncertain of direction and that is when Bulls and bears all lose!
