Euro$ creeps up to test my magic number

Euro$ creeps up to test my magic number

Morning.
Already the market is showing signs of being a relatively quiet day.
Euro$ creeps up to test my magic number at 1.1850 with a view to break that level and possibly even running on. Just above at 1.1900 there is a fair amount of resistance and then again another at 1.2050 where it has turned on a few occasions.
I will have to remain neutral on this in the short term, there is too much in the way to the north. My longer term view remains the same (lower) but with so many political issues right now it is hard to call.
Let us not forget there is a huge situation brewing in Spain and so this really could go anywhere.

The Cable (£/$) got a little lift yesterday courtesy mainly of the $ I think and sits just below 1.3200 yet again. This level is pivotal for me.
There is a huge 1.3200 – 1.3600 range this needs to break through before this gets any momentum to the upside so I’ll remain wary here.

$Yen is the one for me where I think this will slide further despite the retracement overnight.
If the $ continues to slide and the safe haven qualities of the Yen remain intact this could be the trade.
112.00 was hit yesterday as predicted and it could possibly be tested again today I reckon.

Gold I think is “teeing” up for another run to the north and in my opinion should not even be down here anyway.

U.S Oil supporters won the day yesterday with a $1.5 price rise.
I am still going to stay out of this until after the inventories tomorrow at 16:00.

Catch up later

Clive

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Categories: Guest Writers, News, Viewpoint

About Author

Clive Arneil

Clive Arneil worked for major brokers for over 20 years trading most instruments in the Foreign Exchange markets as well as Derivatives. Brokered deals on behalf of some of the worlds largest banks including Barclays, Citibank, UBS, Nat West and the Bank of England. Worked mainly in the UK but also in Switzerland, Germany and the U.S. Retired from the Money Market at the age of 40 and worked as a financial data feed specialist supplying market data to Banks, Brokers and Spread-Betting companies. Still trading and teaching people the skills required to master today’s volatile markets.