Submitted by BBFX Blogger on Thu, 04/05/2012 - 07:30
As we go into Good Friday we have seen whipsaw price action. Growing concerns of Europe’s (now Spain) debt crisis has pushed the EUR/USD below 1.31. Meanwhile the EUR/CHF broke below the 1.20 floor peg, which the SNB vowed they wouldn’t allow.
Submitted by BBFX Blogger on Tue, 04/03/2012 - 08:05
The SPX 500 sits about 4 points lower than Monday’s close on the S&P 500 as of 8:15am EST. This afternoon (2:00pm EST) we have a FOMC Meeting Minutes where many will be looking for any signs of QE3 and if interest rates will remain low into 2014.
We should see some volatile price action so stay under leveraged to prevent from being stopped out easily. The EUR/CHF has seen little movement lately and is approaching the floor peg of 1.20, be sure to watch this pair if it starts to move.
The EUR/USD still remains above 1.33 as European debt crisis drags on.
Submitted by BBFX Blogger on Mon, 04/02/2012 - 09:08
The SPX 500 sits relatively flat from Fridays close on the S&P 500 as of 9:45am EST. The EUR/USD sits about 10 points above the 23.6% Fib (taken from January low). The fear in Europe is starting to come back on the headlines, asking if Greece will need another debt restructuring later down the road. Meanwhile we have growing concerns on China’s “soft landing” where we have seen the AUD/USD decline throughout the month of March.
Submitted by BBFX Blogger on Fri, 03/30/2012 - 08:22
The SPX 500 sits about 6 points higher than Thursday’s close on the S&P 500. Futures are pointing to a higher open for the last day of the Q1 of 2012. The USD has declined against the major pairs.
Europe looks to boost its firepower to prevent another debt crisis. The EUR/USD is sitting around 1.3350 (as of 9:00am EST) and could surge higher due to more rumors. Being the last day of the month this price action could just whipsaw and have no follow through. Next week we have a calendar that is packed with economic events and it could be best to play by the sidelines for now.
Submitted by BBFX Blogger on Thu, 03/29/2012 - 07:53
As we approach the end of the 1st quarter, we have seen a pullback in the SPX 500 and it now sits around 1,400. This pullback could just be a temporary correction as many square up their books. Commodity linked pairs (AUD/USD & NZD/USD) have been hit the hardest by this shift.
If we see risk off sentiment (stock sell off) the USD could appreciate against AUD & NZD, but decline against the Yen (JPY is a safe-haven). However, if this is just a short term correction, the USD should appreciate against JPY as long as there is no QE3.
Submitted by BBFX Blogger on Wed, 03/28/2012 - 07:10
We had the release of UK GDP, which came in lower than expected (-0.3% actual vs. -0.2% expected). The GBP/USD stalling out at 1.60 for the second time has attracted a nice set up from a technical view and the poor GDP was the fundamental driver.
1.59 has just been broken as of (8:00am EST). If we can gain some momentum through the 8:30am EST Core Durable goods the next support level could come in at the 200 Day Moving Average.
Submitted by BBFX Blogger on Mon, 03/26/2012 - 07:49
We have Bernanke speaking at 8:00am EST and the markets are extremely volatile at the moment. At 10:00am EST, we have the release of US pending Home Sales m/m, which will be another release to be careful for.
There has been some concern of rising Italian and Spanish bond yields so be on the lookout if it begins to retrace below 1.3280 area, the EUR/USD is currently trading above 1.33 (8:43am EST).
If equities continue the risk-on trend, we could see AUD and NZD follow along.
Submitted by BBFX Blogger on Fri, 03/23/2012 - 07:49
The SPX 500 sits about flat from Thursday’s close on the S&P 500. Equities are looking to put in a bearish close for the week. However, we have seen short seller lured into this scenario many times over the last few months. Being a Friday if there is not a break and close below the 20 day moving average, we could still see continued gains into next week.
Submitted by BBFX Blogger on Thu, 03/22/2012 - 07:10
The SPX 500 is down about 6 points lower from Wednesday close on the S&P 500 (as of 8:00am EST). Overnight we had the release of China’s slowdown in manufacturing and no positive releases out of Europe this morning.
The AUD/USD has a close relationship to equities and has started to decline. AUD/USD is just clearing through the 100 day moving average. As investor pull out of risky assets they will begin to pour into safe-haven alternatives such as the Yen and USD.
Submitted by BBFX Blogger on Wed, 03/21/2012 - 07:40
The SPX 500 is about 3 points higher than yesterday’s close on the S&P 500 (as of 8:00am EST). Today we have the chairman of the Federal Reserve (Bernanke) that will be testifying at 9:30am EST, which is right at the open of the US markets. We should see a lot of price action depending on the tone of sentiment.
We probably won’t get any hints of QE3 because the markets are up. Interest rates are supposed to remain low until late 2014, but there has been talk they will need to raise rates before then.