Archive for August, 2008
EUR/USD continued the free fall Friday but in today’s Asian session some profit taking is noted. Euro short covering is supported by the firmer oil and some GSE news. EUR/USD is extremely oversold and a correction higher could follow in the next few days. Resistance is @ 1.4815 and 1.4980 (this level should hold [...]
EUR/USD paused for 2 days in expectation of today’s Germany GDP numbers. Market is expecting 1% contraction of the GDP and any worse outcome will provide excuse for another sell off. Forex market volumes are lower during the summer and this is causing increased intraday volatility. Be careful. Support is @ 1.4815. Resistance is @ [...]
After the recent sell off the chart looks pretty ugly but it is clear that the Euro is oversold and it is due for correction. Slow Stochasstics made a bull cross but the market has to overtake yesterday’s high @ 1.4964 to attempt some recovery. Tomorrow Germany’s GDP is expected and probably some $ bulls [...]
Things look pretty ugly in the forex market and particularly for the euro. Along with the oil the bubbles burst and now the market is in a free fall which is exaggerated just like was the rally to new lifetime highs. US funds and UK clearers are still big sellers which means that the down [...]
If we look at the bigger picture in EUR/USD we can see that a major topping formation was completed this week. The market closed below 1.5280 and now can play a double top. The target is approximately 750 pips which means 1.4530.
Another day another sell off in EUR/USD. May be the date 08/08/08 was the reason for the price action in the forex market? The range was enormous – 337 pips. The dollar buying started from the Asian session from US macro funds and UK clearers and didn’t dry up until the NY close. Probably finally [...]
Another day another sell off in EUR/USD. This time day main driver was JC Trichet and his press conference after the ECB meeting. It took him a while (a few months) but he finally realized that the rate hikes are wrong. As usually ECB is behind the curve and out of the real life but [...]
Today market players wil watch and listen carefully to JC Trichet’s press conference @ 12:30 GMT. If he is concerned about the high inflation the euro could find some support. Althoigh, it is widely expected that the focus will be on the risks to growth especially after the rumprs of negative growth in Germany. Stops [...]
Another strong dollar day. EUR/USD broke the key 1.5510 support and even 1.5460 but in the Asian session reversed slightly up. The main driver behind the move is another round of bad Eurozone data and newspaper article quoting German official who is expecting a 1% decline in Germany’s GDP. The EUR selling comes from US [...]
The US Dollar was supported again by the weaker oil yesterday. Hedge funds and other large speculators were buyers of USD against GBP, CHF, JPY and EUR. Support @ 1.5515 is again in focus and today it may be tested and broken although another leg lower requires a correction towards 1.5580/610 at least. The market [...]