Simultaneous Release at
Good day forex trading koalas.
Second day of the week and i hope everyone is moving on green.
Yesterday, we saw the US bank holiday bring in low volume trading. The market was so silent that you can hear a pin drop! An interesting point to note is that while the Euro Zone posted good data, the EUR/USD took no notice of it. I mentioned that the rules of the game now is rather one of who is worst off and hence it only matters when something adverse pops up!
After climbing into the 1.24 range, the EUR/USD faces resistance at 1.2645.
To folks who are new, you are in for a treat. For folks who are with me a long time, you know you want it.
I LOVE IT WHEN MY CHARTS WORK !!!!!!!!!!!!!! MONEY MONEY MONEY.
ok thanks for letting me vent all the hidden steam.
The S&P 500 is rather positive today but we must remember that we are far below from the heights of 1200+ A few months ago. This suggest that sentiments remain weak.
Oil is around $73+.
Gold is just below $1200.
So who gave the EUR/USD a pair of nike air?
Probably the poorer than expected US ISM Non Manufacturing PMI. I mentioned yesterday that if this data falls short of expectation, we may see a further sell off of the US Dollar and it indeed so it was. Weeks ago, everyone was talking about the apparent great recovery of the US. When the housing tax credits and the temporary census employment ended, mounting negative data began pouring out and now investors are apprehensive towards the US.
Whether if the current Euro bull run will continue for long remains a question. Investors are worried that the stress test of the European banks may highlight more risk but fail to address it properly. There are no concrete plans on the action steps should the test discover critical issues.
A renowned foreign-exchange forecaster mentioned that the Euro may fall to almost parity in 2011 before recovering. Sentiments echoed by others are that the recent strength is due to short covering rather than a change in momentum.
Data release for tomorrow includes the German Factory Orders.
Bullish momentum may continue to 1.2720 while a bearish attack may see 1.2550.
I slept only 4 hours yesterday and my eyes are burning !!! If you pity this poor koala, simply share to more people about the site.
My greatest satisfaction comes from the thought that i probably helped someone avoid a margin call
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