EURUSD Forecast The EURUSD failed to continue its bearish momentum yesterday, slipped above 1.3826. A quick look at the daily chart reveals that price has been moving sideways between 1.3870 – 1.3600 area since Tuesday and need a clear break from the range area to see clearer direction. The bias is neutral in nearest term and I think I will stand aside for now waiting for further development. I still prefer a bearish scenario at this phase but a clear break above 1.3870 could trigger further bullish pressure testing 1.3950 – 1.4000 area. Immediate support is seen around 1.3750. A clear break below that area could trigger further bearish pressure but only a clear break and daily close below 1.3600 could continue the bearish scenario and reactivate my bearish mode testing 1.3500 region as a part of the bearish scenario since the breakdown below the trend line support on Monday. Fun
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The under fire Greek Prime Minster George Papandreou sensationally performed a u-turn yesterday by cancelling his controversial idea of a referendum into whether the Greece should accept the latest bailout package. This has left the Greek government on the brink of collapse as infighting has led to the PM losing his majority. The political skirmishes spread to the latest G20 summit in Cannes where numerous politicians have balked at the idea of putting up more cash to support the ailing Eurozone economies through the IMF. The main discussion of the summit is whether to double the size of the International Monetary Fund. Prime Minster David Cameron has maintained his view that it was in Britain’s economic interest to offer to underwrite billions of pounds in IMF loans.
Even if Greece can avoid default through its current bailout and the support of a beefed-up IMF, world leaders have for the first time spoken about the possibility of Greece exiting the Euro. F
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Experience is always the best teacher, but it’s also the most expensive. There are a couple of very important trading lessons to learn from the collapse of MF Global that we can learn at the expense of others.
Futures broker MF Global held more than $7 billion in thousands of customer accounts. The firm was run by Jon Corzine, the former governor of New Jersey and also the former head of Goldman Sachs. Many believed he would move to a position in the government after the next election as part of the White House economics team. Instead, he led his firm into bankruptcy with about $41 billion in assets and $40 billion in debt. D
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USD/JPY: 1-hour
There’s no stopping my boy the yen, is there? USD/JPY is now steadily trading below the 76.00 mark, and is currently forming a descending channel. Price is now right smack in the middle of the channel, but I expect traders to be keeping an eye out for potential support around 75.60 and resistance at 76.15.
EUR/USD: 4-hour
So much for resistance at 1.4000! EUR/USD bulls were just too strong yesterday, as they broke the pair out of its recent wedge and set a new high just below 1.4250. Watch out though, as a shooting star has formed. With Stochastic also showing overbought conditions, have the bulls ran out of steam?
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If you are considering consolidating your debts in order to make the payback process of your multiple credit card debts simpler, then you are taking a smart decision. It is necessary to have a sound economic foundation in order to survive in life without financial worries. Although it is not possible to do away with all your financial worries as there are many important and overwhelming prospects of it, you can certainly do away with majority of your financial worries by making yourself debt free when you consolidate debt, your multiple credit card debts are merged into one and also the rate of interest on it is lowered. As a result of this, it becomes much simpler and convenient for you to pay back your debts quite fast. You can use money earned from forex investment to pay back your consolidated debt as fast as possible. Read more…
***Economic Data***
– (SA) South Africa Sept Budget Balance (ZAR): -17.0BB v -5.4B prior
– (CL) Chile Sept Industrial Production Y/Y: 5.2% v 3.5%e; Industrial Sales Y/Y: 1.1% v 0.8%e
– (CL) Chile Sept Unemployment Rate: 7.4% v 7.3%e
– (CL) Chile Sept Total Copper Production: 436.7K v 427.4K tons prior
– (CL) Chile Sept Retail Sales Y/Y: 9.6% v 8.5%e
– (US) Sept Personal Income: 0.1% v 0.3%e; Personal Spending: 0.6% v 0.6%e
– (US) Sept PCE Core M/M:0.0 % v 0.1%e; Y/Y: 1.6% v 1.7%e; PCE Deflator Y/Y: 2.9% v 3.0%e
– (US) Q3 Employment Cost Index: 0.3% v 0.6%e
– (BE) Belgium Q3 Preliminary GDP Q/Q: 0.0% v 0.4% prior; Y/Y: 1.8% v 2.2% prior
– (EU) ECB completed €4.0B in settlements in its Gov’t Bond buying program vs. € Read more…
October 24th, 2011 in
Forex News |
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