Forex Market Commentary
Two months ago and the thought would have never crossed traders minds; but now there is a big debate raging on: is the USDX overall exhibiting signs of a classic bear market? possibly in the short term the USDX is set to depreciate further as net shorts begin to clear out of the market. it's major currency pair EUR/USD has made impressive headway this week and last now firmly perched on the 1.13 preparing for an assault on the 1.15 mark. But sentiment remains skeptical after all growth in the EUR per se cannot be taken out of context of the current slow down in the US economy. With summer around the corner the US economy may yet exhibit strong data in Q3 to validate the continuity of the long term growth of the USD. Thus all eyes are on friday's NFP data which may set the tone for the weeks to come. A weaker than expected NFP would have damaging effects on yield expectation and drive USD lower and lower yields would again be a sigh of relief for the US bond markets.
With OPEC unlikely to make any cuts in production the market finds it surprising that crude oil should show such resilience trading at the 60 Dollar mark. Reuters highlight "stronger-than-expected demand growth"
See Reuters report -
http://www.reuters.com/article/2015/05/07/us-markets-oil-idUSKBN0NS01720150507
Please note that technical data should only be used as a guide but be aware that it is the fundamental data which becomes the trigger that pushes prices into equilibrium of demand and supply.
Always look to support and resistance band lines as the key to understanding in the long and short term where prices are converging. Professional technical traders use 50 day and 200 day medium and slow moving averages as fundamental cornerstones for interpreting the direction of price action.
USDX
94.164 +0.007 +0.01%
Support 93.108 Resistance 95.878
Forward 1 year - 95.263. Low growth positive line.
Forward 1 year - 95.263. Low growth positive line.
EUR
1.134090 +0.014995 +1.34%
Support 1.11090 Resistance 1.15010
Forward 1 year - 1.14540. Low growth positive line.
Crude Oil
60.49 -0.44 -0.73%
Support 59.31 Resistance 63.39
Forward 1 year - 64.92. Medium growth positive line.
Forward 1 year - 64.92. Medium growth positive line.
Gold
1192.455 -2.995 -0.25%
Support 1,182.0 Resistance 1,201.0
Forward 1 year - 1,196.2. Flat line.
Pieter Bergli - DeLoren Trust Holdings
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Forex market commentaries and media reports for free
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Futures and Options trading involves risks of losses. No representation is being made that any reader and account will or is likely to achieve profits or losses similar to those that are being discussed on this blog http://forexeducationperspective.blogspot.com/. The past performance of any trading system or methodology discussed is not necessarily indicative of future results.
CFTC RULE 4.41 - HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
All trades, patterns, charts, systems, etc., discussed in this blog http://forexeducationperspective.blogspot.com/ are for educative and illustrative purposes only and not to be construed as specific advisory recommendations for actual trades. Disclaimer - http://forexeducationperspective.blogspot.com/ bears no responsibility for the trading actions of its readers
Pieter Bergli - DeLoren Trust Holdings
A non-profit commitment to provide education on the properties of currency markets
Forex market commentaries and media reports for free
Disclaimer - U.S. Government Required Disclaimer - Commodity Futures Trading Commission
Futures and Options trading involves risks of losses. No representation is being made that any reader and account will or is likely to achieve profits or losses similar to those that are being discussed on this blog http://forexeducationperspective.blogspot.com/. The past performance of any trading system or methodology discussed is not necessarily indicative of future results.
CFTC RULE 4.41 - HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
All trades, patterns, charts, systems, etc., discussed in this blog http://forexeducationperspective.blogspot.com/ are for educative and illustrative purposes only and not to be construed as specific advisory recommendations for actual trades. Disclaimer - http://forexeducationperspective.blogspot.com/ bears no responsibility for the trading actions of its readers
