All Blog Entries

[B]On the weekly interview on [/B][B]Forex TV with Julie Sinha, I spoke about the market’s mood in the upcoming week, calendar events to watch, the bearish and the bullish pairs and the possible breakouts. Enjoy![/B]

The kiwi dollar is expecting an interesting week, with important quarterly releases. Also the Swissy awaits interesting events, but they come on Friday, a day that the SNB also feels a need to do its own forex trading…

Click here to watch the [URL="http://www.forexcrunch.com/video-weekly-outlook/"][I][B]weekly video outlook[/B][/I][/URL].

Winston Churchill once said: “Nowhere is more nonsense talked than by currency experts about foreign exchange.” We are in total agreement, and unfortunately guilty as charged, even though we do our best to spew a minimum of nonsense.
We believe, once all the non-sense is said and done, there really are only two key things to worry about (assuming of course you have a natural market cycle time-frame; we are not talking about short-term technical stuff that seems so popular); these two things encapsulate all the other stuff:

1. Interest rates
2. Economic growth

To add some nuance to these two variables:

A. It is a relative game—an aspect that seems to allude the “dollar is going to

...

Attached Thumbnails

 

 

 

EUR/USD

The Euro found support close to 1.3450 against the dollar on Friday and then rebounded firmly during the day. There was evidence of short covering following sharp losses over the previous 24 hours with the Euro also recovering after testing important medium-term support levels.

Following the surprise Federal Reserve discount rate increase the previous day, central bank officials were again keen to emphasise that this was not a change in monetary policy and there were also suggestions that there would be no short-term move to increase the Fed funds rate which curbed any further dollar demand on yield grounds. Underlying confidence in a US recovery is still firm at this stage which is providing background ...