WhO WilL BiLL tHe cAt !! MaY 31
Europe is getting tough, as Spain has taken the lead over Greece. Financial crisis is becoming more painful due to Spain’s banking sector disaster that has already sucked in over Euro 330 billion, but it still demands more money. They do not have collateral to offer against fresh borrowings and window dressing looks difficult.
The new debate that has started recently is that who will be the first to exit “EURO”, Greece or Spain. Greece could be lead by anti austerity leadership, which may take decision against the European policy agreement.
But Spain is certainly a bigger threat to the Euro-zone that could ultimately drag world’s major economies as its unemployment has reached 24 pct, it has deficit of over 8 pct, much above desired level of 3 pct. Its 10-year bond yield surged to hit the highs of 6.70 pct, 5-year tenor CDS 588 and country's depositors are fleeing away, whih is a more worrisome factor.
All eyes will be on European stock market and European Bond yields for direction. Market will remain Choppy. US Dollar, US Treasuries and Yen will remain in demand, but any positive statement from a responsible European/World leader or financial official could give market an excuse to correct.
EurO UndeR PressurE & GolD…May 30
http://www.forexstreet.net/profiles/blogs/euro-under-pressure-gold
-
Comment by Manish Patadia on May 31, 2012 at 6:17am -
why not giving ranges in gold plze
-
Comment by shehzana shamsi on May 31, 2012 at 7:07am
-
Greetings Mr Rizvi missing ur range forecast on the majors and gold pls donot stop leading us....Ur forecast helps us newbies in a big big big way God Bless
-
Comment by naren on May 31, 2012 at 9:04am
-
hahahaha
-
Comment by asad rizvi on May 31, 2012 at 2:15pm
-
May 31 - GMT 03:14..........GOLD @ $ 1562 = Gold looks toppish around $ 1566-68, it could fall towards $ 1554-55 zones and is likely to trade in this range until New York. Risk is that it should not surrender and fall below $ 1548 or else could further dip towards $ 1536-38, which is a loess favored scenario. However, a push beyond $ 1573 would encourage for more gains.
EURO @ 1.2372 = Euro may be testing support level of 1.2340-45, but is likely to find a cap around 1.2385-90 and if support level surrenders, European currency may find another barrier around 1.2305. During this phase if market does not here any positive news Euro is likely to slip as slow pace for new lows. However, potential for any corrective move could exhaust around 1.2410-20 zones and for big correction Euro needs to surpass 1.2460-80 zones.
GBP @ 1.5475 = I believe that intervention by Reserve Bank of India on Tuesday to defend Indian Rupee by selling GBP went unnoticed that had also caused damage to the British currency. GBP needs to clear 1.5510 for test of 1.5550 looks tough at the moment as Cable could suffer some more losses before recovery, a push below 1.5410 should not a happen or else currency could plunge towards 1.5320
Comment
Photos
ChartAccess 20% OFF
© 2013 Created by FXstreet.
You need to be a member of FXstreet.com Forex Social Network to add comments!
Join FXstreet.com Forex Social Network