5
0
FX Levels for Today December 5, 2008
Fri, Dec 5 2008, 02:16 GMT
by Abdul Khan
Overview
Remember the days when currencies would fall after a rate cut? Especially if the cut was bigger than expected!!
The ECB cuts by 75bps instead of 50bps, and the BOE cuts by 100bps, but the USD weakens, and the EUR rallies thru good resistance at 1.2740.
The Dollar Index futures contract showing some encouraging signs of impending weakness. I think the recent highs around 87.50 could hold any further upside. A break under 84.50 would confirm the bearish sentiment towards the greenback.
US Payrolls tonight, and they're expecting about 300k jobs lost last month. A larger number will see the USD fall, but this could be offset by stocks falling on further recessionary concerns, which will flow onto weaker crude prices and then weaker commodity prices in general.
I think starting over the Xmas/NewYear break, we'll see the EUR lead the recovery. The holiday period tends to see light volumes, exaggerated moves, and stops being triggered unceramoniously. When the market sobers up in late January, we'll see the USD decline accelerate as traders get back into risk, start looking for yield again, and stocks recover on the back of Obama's inauguration.
Have a good weekend all!!
Data for Today
EU: PMI
US: Payrolls and Unemployment
Trades for Today
EUR: Buy dips to 1.2720 pre payrolls, and work a tight stop over payrolls
JPY: Sell around 93.50
Silver: Buy around 9.20, with stops below 8.80.
Gold: I'm happy to hold my longs in this pullback, with the view to adding if we see the mid $750's
Published on Fri, Dec 5 2008, 02:33 GMT
Archive
- FX Levels for Today. July 2, 2009
Published On Thu, Jul 2 2009, 01:54 GMT - FX Levels for Today. July 1, 2009
Published On Wed, Jul 1 2009, 03:50 GMT - FX Levels for Today. June 26, 2009
Published On Fri, Jun 26 2009, 01:30 GMT - FX Levels for Today. June 25, 2009
Published On Thu, Jun 25 2009, 04:37 GMT - FX Levels for Today. June 19, 2009
Published On Fri, Jun 19 2009, 02:05 GMT
Income Generation Strategies
| Level 26, Waterfront Pl. 1 Eagle Street, Brisbane, Qld. 4001
http://www.incomegenerationstrategy.com/ | abdul.khan@tricom.com.au
Legal disclaimer and risk disclosure
- All opinions and materials provided on our website and in our e-communications are provided by appropriately licensed individuals where financial advice may be deemed to have been given. Incomegenerationstrategy.com is an e-portal to our contributors and as such does not provide financial advice in its own right. We will always mark information according to the contributing alliance partner and you are welcome to check the bona fides of any of our contributors directly with their parent companies or at www.asic.gov.au. Incomegenerationstrategy.com is solely focused on developing, arranging and promoting products and events and does not hold a proper authority. This website does not operate under the auspices of an ASIC license and incomegenerationstrategy.com does not provide financial advice at any time. Any communications that may be construed as such are provided solely by our contributors.Interested in forex trading? forex brokerage firms!
GET CASH BACK FOR YOUR TRADES! Learn more about the Pip Rebate Program
Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.
Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. FXstreet.com has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and Omissions may occur.
Any opinions, news, research, analyses, prices or other information contained on this website, by FXstreet.com, its employees, partners or contributors, is provided as general market commentary and does not constitute investment advice. FXstreet.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
©2009 "FXstreet.com. The Forex Market" All Rights Reserved.