Simultaneous Release at www.thegeekknows.com
Good day Koalas!
The US gave us an unexpected surprise.
US Home Sales brought a kneel jerk reaction right up to almost 1.3600.
The S&P 500 takes a hit in early trading too. Now that it is below 1100, we may be seeing more negative sentiments to come.
Oil trades around $77 at the moment.
Gold is currently valued at around $1100. Having made an earlier low, it has risen probably due to risk aversion.
The US Home Sales performed a double setback. Lower than expected, lower than the previous release. Home Sales stimulates the economy and many investors do keep a close look on the developments. A drop in Home Sales may suggest two things.
1)Under performing economic conditions preventing the purchase of homes
2)A loss of future opportunities due to the absence of stimulants
Given this extent of disappointment, we may see some sell off of the US Dollar.
Do note that this is still a knee jerk reaction and we must remember that the Euro Zone are not doing too well either.
We have more important releases tomorrow such as the German Unemployment Change and US Unemployment claims. Fed Chairman Bernanke is due to continue with his testimonial too.
Bullish relief from the release may push beyond 1.3600 towards 1.3680.
Bearish comeback may target 1.3550 again.
I wanted to write more as it is in my koala blood to share my learning but my eyes are X-Men again! I need to minimize them to continue typing. Hmmm could this be a manifestation of my continued lack of sleep? This indeed is affecting my work here. I find it hard to concentrate. Right now, my monitor is the lowest in brightness and it only helped slightly…
oh save me koalas!
But still no excuses, trade safely that’s an order!
Read more Forex Articles and Views by The Koala at www.thegeekknows.com