Good day Koalas!
Monday is here again. Rise and shine for the new trading week. Remember our goal is not to become rich overnight. Rather to finish the week in green 🙂
The trading range is not too huge today as there were not many releases today.
While the EUR/USD continues to range within 1.34-1.38, recent bearish attacks were rather weak. This is seen on the chart as the currency pair slowly edges up.
The S&P 500 is the big winner these days as it has almost recovered from the previous drop. An interesting fact is that the EUR/USD is not showing a similar trend and hence the correlation between both is at stake.
Gold has dropped to $1122+. In view of the risk taking sentiment, gold may be sold by investors taking on more risk.
In view of the recent bullish developments for the various equities and commodities, the apparent lack of a similar activity in the EUR/USD may be suggesting that the Euro Zone has lost it’s favor among the investors for now.
This is not surprising considering the extend of the Greek deficit problem. There is no real end in sight now and the strikes in the country is complicating possible solutions. Fears of similar problems in Spain, Portugal and now even Britain are turning investors away.
Nonetheless, there was a report stating that the EU is working on a plan for a “European Monetary Fund.” This would be a contingency styled lender. Should this plan succeed, it may boost the sentiments with regards to the Euro Zone.
With tomorrow being light on economic data, we may see ranging price action if nothing adverse pops by for a visit.
Bullish momentum may take us to 1.3680/720.
A comeback of the bears may push the currency pair down to 1.3600/550.
Folks do you like the slightly tweaked layout? My next plan will be to include a site map as a few folks wrote to me and said that they could not find some of the forex education articles.
My aim is to provide the best koala forex experience to you and so stay tuned for it!
Trade safely 🙂