Hello Blue Koalas!
Before we began, being blue doesn’t mean you stop helping! I have just launched a new contest for the MOST HELPFUL ACTIVE FOREX KOALA! Check it out and be merry 🙂
Ok. We closed off last week on a … now wait. Where is Friday’s EUR/USD Daily Review? Oh right.. if you have not being following, after working for some 15 hours in the day on Thursday and followed by more on Friday, i fell asleep on my keyboard when i was about to begin my research for the day. Koalas do need their sleep! Sincere apologies.
Ok. The EUR/USD is suffering from the Monday Blues and is currently struggling with the 1.3200 line. This totally erased Friday’s bullish gain.
The S&P 500 is climbing, moving away from 1180. As i highlighted in the chart above, the American economy is no island of it’s own and is affected by the Greek Deficit Crisis apparently. However it remains resilient as the 1180 support still holds.
Oil is currently at $88, probably affected by the concerns of the oil spill crisis
Gold… Gold is HIGH! Currently trading at $1180+, this suggests strong demand. As gold is usually an investment of choice when it comes to economic uncertainty, investors may be concerned.
Greece accepted a $145 billion aid package from the International Monetary Fund and its Euro Zone partners over the weekend. This plan is supported by the ECB and in return, Greece promised to bring about a cut of 30 billion euros in the budget and to bring a deficit of 13.6 percent of gross domestic product to within the European Union limit of 3 percent in 2014. To further extend it’s support, the ECB announced that it would indefinitely accept the country’s debt as collateral no matter what credit rating is assigned to Greece.
While this seems to be positive news for the Greek Deficit Crisis, investors are wary and they fear of potential complications. This aid solution requires the buy-in of a number of Euro countries and it is unknown whether any objection may arise. Another concern at the top of the list is the worry that the problem may spread to other countries such as Spain and Portugal. Both received credit rating cuts recently. The length of time taken to craft and deliver the aid package for Greece leaves many wondering on the response if other Euro nations fall into need too. Many traders also fear of more strikes complicating the matter and the ability of Greece to cut the budget deficit to 3% by 2014. Risk aversion lurks.
Tomorrow brings us a few highlights that may be important. German Retail Sales and US Pending Home Sales are among those.
Bullish relief may see 1.3200/85.
Further bearish sell off may test the region of 1.3090/1.3000.
Something came into my mind today and i thought i’ll share with you. I was wondering if there is anyone who doesn’t love attention? Looking at all the attention seekers around, sometimes i may even be one of those LOL. Is the desire for attention inbuilt into our DNAs? Have you seen anyone who really doesn’t fancy any attention at all? HmmmmMmmmMmMmm..
OK! Enough of your attention 😛 😛 😛
Trade safely and i’ll see you soon. ( Remember to check out that contest ! )