FX Comments 12/03/2010

Good afternoon,

What a market! Volatility is pretty huge and we just had US unemployment numbers which were awful.
Since yesterday's ECB presss conference, EURUSD has been climbing up to 1.3370.
Mr Tichet hasn't told us anything new on the bond purchase program, except that it was not quantitative easing and the ECB has been seen purchasing a lot of paper which gave the strong tone to this EURO.
Now what? We are back at the high post Irealnd bailout (1.3350-60) and it will be interesting to see what will happen from here.
Either the market forgets the mess of the Europan sovereigns and we could continue to correct quite sharply, either they wont be such short minded and use this area as a perfect sell level. (I would prefer the latter..)

In terms of technicals, 1.3380 area is the 50% retracement from 1.3785 down to 1.2965.

Good luck,

FX Update 12/01/2010

This isn't going anywhere at mom. I am hearing that a few stop losses are placed on the upside and I wouldn'tt be surprised if the market takes them later this afternoon.
I am thus closing temporarily the position at cost and will try to reenter on better levels.

FX Comments 12/01/2010

Good morning,

A correction is currently unfolding in EURUSD, we went as high as 1.3092 this morning and we currently trade around 1.3075-80 as I write.
I think this upmove represents a correction within the bear trend and if you are bearish it should be worth selling into it. Ideally we should not break 1.3100 but there should be some big resistance up to 1.3130 also (200 day MA).
Looking at different press articles, we have a risk that ECB announces more quantitative easing by the ECB tomorrow and that should not help it.

Good trading,