Wednesday, July 13, 2011

The Advisor Weblog

The Advisor Weblog

Panic eases this Wednesday

Posted: 13 Jul 2011 04:31 AM PDT

Hi everyone! Panic starting past Monday eased this Wednesday and dollar is losing some ground against high yielding currencies. Why investors are back to euro, I guess because they choose the less evil: while the euro zone is fighting to solve the crisis (whether if they are doing it right or wrong), the US saw an increase of the deficit along with worsening employment conditions.


However, market is far from feeling confident on any economy, and gold near its' record high is showing as so; safe haven yen and swissy near all time highs also do.


In regards of EUR/USD, pair reached 1.4110 before giving back up. 4 hours chart shows indicators heading higher although price unable to overcome a still strongly bearish 20 SMA. Currently around 1.4060, I would expect the bearish rally to begin if below 1.4035, towards 1.3970 area again. The mentioned high needs to be overcome to see some bullish continuation, yet I wont be expecting too much of that in current session.


When talking about GBP/USD, the pair managed to recover yet not above 1.6000. Bias is slightly bearish yet mostly sideways for the next hours. Bearish accelerations are expected only below 1.5880.

Here is the link for today's calendar:


http://www.fxstreet.com/fundamental/economic-calendar/


Have a great trading day!
Posted by at 5:29 PM

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)