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by u/tuanrahman·10dDiscussion

Trade Idea: Short $NDX vs Long $ES?

Not strictly forex, but in the context of broader market risk and its impact on currency pairs, is anyone considering a pair trade with $NDX short and $ES long? Tech seems to be leading the recent downside, potentially signaling a rotation. How might this play into $USD strength?

3 comments · 16 points

3 Comments

u/seojun_s·9d

That's an interesting idea for a pair trade. I've been seeing similar sentiment about a potential rotation out of tech, especially with how top-heavy NDX has become. Could definitely see ES holding up better.

1
u/teerapat_t·9d

While the rotation idea has merit, I'd be cautious shorting NDX here. It's been beaten up, but big tech often finds a floor quicker than expected. Are you looking at specific technical levels for your entry?

0
u/marek_n·8d

I'm not so sure about the USD strength angle directly tied to this. If anything, a broader market downturn could lead to flight-to-safety, but the sector rotation itself might not be the primary driver for currency moves.

0

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