Tag: Dow WaveSort
The Euro is trading higher this morning as the Eurozone is rumored to have a new bailout fund to save Greece from default. The EUR/USD has so far hit the 1.3690 high, but many traders remain uncertain till the 1.4000 level is once again broken. Intraday bias remains on the downside, as long as the 1.3934 minor resistance line is not broken.
The EUR/USD has dropped to the 1.3360 low so far. The Euro volatility remains high as the debt crisis continues with no clear solution. Investors are shifting back to the U.S Dollar and Japanese Yen as a more stable investment. Intraday bias remains on the downside, as long as the 1.3934 minor resistance line is not broken.
The U.S Dollar is preforming very well against the high-yielding interest rate currencies, after the Feds announced “Operation Twist” to strengthen the U.S economy and fears of the debt crisis in the Eurozone spreading. The U.S Dollar broke 3 major resistance lines and hit the 1.0360 high, falling short of breaking the 1.0370 major resistance line.
The U.S Dollar is rallying against all majors, as the Feds move away from quantitative easing and focus on long-term interest rates. “Operation Twist” as dubbed by the Feds, has rallied the Dollar, investors are selling high-yielding currencies, and shifted the main focus back on the Eurozone debt crisis. The Sterling (GBP) has dropped significantly against the Dollar, 38 weeks low.
USD/JPY is once again on a strong downtrend, so far it has hit the 76.10 this morning. The U.S Federal Reserve decision of going through with a new round of quantitative easing is making investors nervous at this moment and selling the dollar (announcement hasn’t been made so far).
Feds Quantitative Easing Expectations, Dollar Sell
The EUR/USD is trading slightly to the upside as announcement for monetary stimulus is expected by the Feds. Investors are selling the U.S dollar for other major currencies, quantitative easing is expected this Wednesday. EUR/USD is stabilizing itself at the 1.3500 low for now. Intraday bias remains on the downside, as long as the 1.3934 minor resistance line is not broken.
GBP/USD breaks below the 1.5705 low and reaches the 1.5682, as the markets open. The currency pair is on a downside pressure due to the Eurozone members, not coming to a decisive plan to meet the debt crisis. Intraday bias remains on the downside, as long as the 1.6200 minor resistance line is not broken.
After reaching the 1.0025 high on Sept.12th.2011, the USD/CAD has been on a downtrend and so far it has hit the 0.9782 low. The currency pair has a strong downside trend, from the 1.0370 to 0.9405 low (October 19th, 2010 to July 27th, 2011). Intraday bias has changed to the downside, once the 0.9828 minor support line was broken.
ECOFIN (The Economic and Financial Affairs Council) meetings are underway in Poland to discuss and resolve the Eurozone debt crisis. The major topic in the meetings will be the Greek debt and its next installment payment, which is opposed by a couple of EU members without receiving collateral. EUR/USD has dived to the 1.3752 after hitting the 1.3934 high.