By the beginning of the year, the euro crisis gathered all of the market attention, with Greece ready to leave the euro zone, Italy and Spain joining the club of the intolerable high yields and bailout needs, and European authorities lost without an answer. Crossing the ocean, US monthly employment readings surprise strongly up 3 months in a row, and market started screaming growth! The EUR/USD, fell as low as 1.2161 this July. However, while the EU crisis continues, at least the EU…Continue
That market evolvs constantly is no news. The thing here is if we are able to adapt fast enough to survive on it. What will then, this 2012 bring? More banking jitters, higher chances of default in Europe, and more runs to the dollar on a continuous improving economy would be my educated guess.
Correlations may stay, or may change; I’m seing the beginning of a return to the dollar/stocks correlation we had before the 2007 crisis, yet is early to comfirm it. Maybe tomorrow’s…Continue
Buy the rumor, sell the fact. At least, that’s what we are seeing in the EUR/USD, that lose over 100 pips in less than an hour and after posting an intraday high of 1.3197 trading now below 1.3100 as European stocks erase daily gains and turned red. The ECB 3 years refinancing auction that exceed expectations and reached 489.2B, was the trigger of the latest fall.
Strong retracement from mentioned high suggests the recent bullish rally may have been just corrective, and the…Continue
Corrective Thursday that's it. Dollar is slightly lower against major rivals, as stocks soar on US positive news. But both technically and fundamental, movements will likely remain limited. I will rescue Angela Merkel's words from yesterday, saying there is no easy or fast way out of the European crisis.
Both the EUR/USD, and the GBP/USD are trading below their 4 hours 20 SMA that act as dynamic resistance intraday. Anyway, here is the short term outlook for majors for current…Continue