Yesterday was a mirror image of Wednesday. Market went into a buy mood and we reached new highs. At present it is all about Spain. The budget announcement went down well, we now have see if they will go for the bailout, that’s the main issue. There is also the Continue Reading →

A serious sell off yesterday out of the blue. S&P and Gold got hammered while the Euro held in around the 200MA on the daily chart. The sell off was part caused by Spain and a profit take following the QE3 euphoria. Overall the market is now bearish and the Continue Reading →

I thought we would hod in ranges for some time, indeed we looked like we would break to the upside untill late afternoon. But Eurozone worries came flooding back to haunt the market. Basically the figures in Spain are disastrous. Putting questions over the bailout, political futures and funding. The Continue Reading →

Yesterday we hit the low end of the ranges. Bounces were small however and not much chance for trading.

Today we open close to the low again. Mood is slightly bearish but not enough to break to the downside I think. Volumes are small and the market is directionless. Very Continue Reading →

Slower growth in China caused a sell off last night. This combined with Spain indecision over a bailout have moved us close to the bottom end of the range. Greece Cyprus are also in the headlines for deals. The main issue is when or if Spain will formerly ask for Continue Reading →

The market is ignoring all the QE and is in sell off mode. Bad news from China overnight is excelerating the down move. The market is focusing on the reality that the world is in deep trouble withregard to growth. The QE gave us a boost but now we are Continue Reading →

Easing by the BOJ last night now means there all at it. Bernanke, Draghi, and now the Bank of Japan. Due to the nature of the interventions it has to be positive for the Euro. I would like to see another sideways to lower day, for the Euro, to take Continue Reading →

Another test to the top side on the Euro yesterday at 1.3170. Nothing else rallied. Market is tired and sold off late last night. We still have a bullish bias and now need to find the levels to buy.

Euro is well supported at 1.3080 but I would like 1.3030 Continue Reading →

Market on Friday kept rallying despite sever overbought conditions. Very hard to buy when the technical situation continues overbought. Today both the 4hour and daily charts are overbought on the Euro. We may have seen the high for a while despite the macro outlook being bullish.

Technical levels are 1.3140/70 Continue Reading →

Well the market lost faith through yesterday,s price action but in the end Ben Bernanke delivered for sure. What a rally!

No doubt this will buoy the market for some time. However we are too high at the moment. This market is extremely overbought, needs to correct and reset. I Continue Reading →

Today we await the Fed and the prospect of QE3. This is a pivotal point for the market and will likely determine the trend for the near term. Prospects are 70/30 in favour but as ever the devil is in the detail.

Yesterday we got the ESM vote and this Continue Reading →

The ESM ruling from the German Constitutional Court will dominate today. We expect it at 9am our time.

The market is expecting a yes vote with conditions. The important issue is the conditions. If they are easy the Euro will probably test 1.2900. If they are difficult we will sell off Continue Reading →

We had a quiet day yesterday after last Thursday and Friday action. There was a sell off at close and we tested support. We are heading for the ESM ruling on Wednesday and the market is unlikely to do much until then.

Support came in at 1.2750 for the Euro Continue Reading →

After Friday’s Non Farm Payrolls dissapointing data, the market is now expecting an announcement of details regarding QE3 on Thursday, at the FOMC meeting. This should support the Euro, Gold and the S&P. We should have a market that is a buy on dips for a few days at least. Continue Reading →

Yesterday we finally got Dragi’s plan. It was enough to make the market stop. Not the massive plan we were promised but enough to calm the markets on the Euro Zone. It willtake a couple of trading sessions to get a direction on the Euro. In the meantime it is Continue Reading →

We find out today what Mr Draghi’s bond buying plan is and how it will effect the market. Much has been leaked but the devil is in the detail. Today is all about the Euro and the S&P will react rather than lead.

Here are the scenarios:-

1. A plan Continue Reading →

Afetr a pretty slow August and a quiet start to the week, markets showed some sign of life yesterday. The big days are Thusrday and Friday. There is no doubt the situation in the Euro Zone is getting worse. Money leaving Spain in truck loads, Greeks being asked to work Continue Reading →

We are getting closer to the ECB press conference on Thursday and already there is great speculation on what Mr Draghi is going to deliver. It would seem he is going to produce some form of bond buying programme but the devil will be in the detail.

He needs the Continue Reading →

Jackson Hole was a non event on Friday. We got what we expected, QE3 if necessary. Friday’s non farm payroll will be extremely important.

In the meantime Draghi takes center stage on Thursday. We may get a rate cut which will sink the Euro and we are expecting details on Continue Reading →