[quote=John Kicklighter;196772]Hello Bertie,
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So, I would say when we hit an extreme, the markets will go back to normal - calmer. Of course, just as it is with any indicator, it is hard to define an extreme. We haven't seen this much volatility since at least 1998; but fundamental conditions are as bad as they were during the Great Depression. As such, it is possible that fear could hit the next gear - though much further would likely mean a major economy is about to fail.
As you can see from our Volatility Index below, markets are already cooling off - though they are still near historical highs.
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Thanks for the response John. So like any indicator, it can prove very useful, and even more useful in hindsight!?
So coming onto the recent levels of volatility, what pair would you be looking to use for a carry trade, the classics like GBP/YEN? Are there any specific indicators that you will be looking for, both technical and fundamental?
