if they work together, what you say makes pretty good sense to me. Otherwise I have trouble seeing it. There are just so many large banks, hedge funds, institutions, commercial hedgers, and even us retail guys around the world that no one entity can control or tame this market. I have seen articles written saying one bank is long E/U looking for a certain price target and another bank is saying short every rally. The way the forex market moves can not be blamed or attributed to any one thing imo. It just may be a result of the fact it is a 5 trillion a day market with money flying in every direction and opinions galore. All is just my opinion, have never really done any research into this subject. Just trying to logically make sense of it.
EDIT:And most of the things I have read or heard about "bank behavior and bank trading" has been from someone trying to sell something claiming they know how to trade with the banks. Which makes me even more skeptical of the whole idea.
