We seem to be getting some sideways drift, or is this just a "market in shock" phase? What ! The Euro is not at Parity to the US dollar? What ! Greece is still in the Euro? What ! Europe seems to be coping and doing just fine ?
Yes ! It Is ! Just as we always forecast here ! The White Crane bullish view of the world, I am not too reluctant to say, is proving remarkably correct. Please be aware we will not be able to hold the annual subscription special offer, with performance guarantee at just $89.95, open for much longer. So please forward this to friends so they can take advantage of the offer, and be forever grateful to you.
As suggested yesterday we are now in a bit of a time warp where all the news is in the price, the fictional nonsense bad news of the Roubini types that is. None of the good news of a Euro-zone economy set to recover, alongside firm corporate profits, and increasing export demand, is in the price of either the Euro or the Australian dollar. Buy some Australian mining stocks like Fortescue and BHP, and enjoy a double win from the currency as well.
As for price action on the day, the bears are in a state of shock, and the bulls, well they are the bears actually who are having to change their world view rather radically as all the evidence and price action points against their Jurassic economic non-thinking. I have to be harsh because it has been an absolute disgrace how some of the world's largest banks, from Lloyds to RBS have consistently pushed an armageddon scenario that was baseless in any real rational economic thought. It has to be said that there are some real idiots who are head of the economic and research divisions of many of the biggest names. It has gotten so bad, that one can assume if an organisation is large, then it is probably wrong ! So where does that leave us, with great little individual services like this one ! :)
Have a great day and be aware, the market is still for a moment because it is feeling a little lost about the lack of downside for the Euro. It will be a day or two perhaps, but our aggressively bullish view, Euro 1.5000 and AUD 1.1200 this year, still feels right. We are actually double long below in the Euro at the moment.