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Good day forex trading koalas.
Tomorrow is Friday and remember our weekly target to be green!
Yesterday Spain was talk of the day again. There were speculations that she would struggle with the $38 billion of debt that is due for redemption next month. Risk aversion surfaced and took a hit at the Euro. We might not have seen the worst. In the US, due to people making use of the last month of the tax credit, pending home sales rose. The challenge would be to remain bullish after the end of the tax credit.
In the meanwhile, the EUR/USD continued to test the H4 trendline.
The EUR/USD grew tired of the H4 trendline and stood up for a breather. Trying to escape? Not so fast. The line of 1.2330 capped any bullish mischief and gave me yet another opportunity to do some shameless self praise. I LOVE IT WHEN MY CHART WORKS !!!!
The S&P 500 is attempting to cross the 1100 mark. Success in doing so may indicate a recovery of sentiments.
Oil continues to hover around $74+.
Gold has dropped to $1211+.
The US ISM Non-Manufacturing PMI indicated an expansion as it was above 50. This probably fueled positive sentiments with regards to the American economy. The US equities and the US Dollar benefited from this and grew stronger. To further add reasons for a celebration, the US unemployment claims were lower than the previous month. Giving yet another indication of a stronger US economy.
On the contrary, the Euro Zone continues to face depressive sentiments. Retail Sales for the Euro Zone came out to be a shocking -1.2%. Consuming spending being one of the main indicator the economy health, certainly doesn’t spell well for the Euro Zone when it is in the negative. With Spain’s looming debt redemption next month, there is a sense of apprehension in the markets.
Once again having said so, i will like to remind that the US got the better of the situation because the media and investors are not focused on her problems for now. As i mentioned in my US Dollar Index review, the deficit of the US remains massive.
Among the various economic releases tomorrow, we have MARGIN CALL FRIDAY !!!
Yes. US Non-Farm Payroll and the Unemployment rate is here again. The time whereby prices jump around like hot ants on a pan, wiping out margin accounts happened to be caught with excessive risk. Be careful. Be VERY careful.
Moving on, from a technical point of view, bullish pressure may see 1.2300/330. Any bear attack may see us testing 1.2135/100.
I had gastric pain yesterday! A common problem for me. However i have a new medicine that i just bought from the pharmacist. Antacid with anesthetic properties! I pop one into my mouth and within a minute, the pain is gone. Instead, my stomach felt queer. Kinda like a cramp but not pain. Just weird. LOL interesting.
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