This Wednesday, the IMF will release the World Economic Outlook. After the previous gloomy outlook, this week’s forecast will significantly impact the mood of traders and the direction of the US dollar. World Recession On April 22nd, the International Monetary Fund (IMF) will release it’s World Economic Outlook. Last time, the IMF said that whole … “IMF World Economic Outlook and the Dollar”
Category: Opinions
Another Bad Friday for the Euro
Jean-Claude Trichet continues to send hesitant signals. This is bad for the Euro. The Euro could dive to the mid 1.20s next week, as the situation in Europe is dire. Very dire. Last week, most markets were closed due to the Easter celebrations – Good Friday. The Euro didn’t enjoy Good Friday, and it went … “Another Bad Friday for the Euro”
AUD/USD – Just a False Break
AUD/USD breached the major resistance line, went 50 pips beyond it, and retreated. What can we learn from this false break? The Aussie began the week very close to the major resistance line of 0.7267. This was on thin trading, when European traders were still celebrating Easter. In the middle of the New York session, … “AUD/USD – Just a False Break”
Inflation? Not So Soon…
Germany’s Finance Minister is worried the world may face an inflation crisis. Up to now, prices are just going down in this crisis. This week’s inflation figures across the world can tell us if this prices are moving, and if interest rates will change a direction. Peer Steinbrueck, Germany’s Finance Minister says that the current crisis is … “Inflation? Not So Soon…”
AUD/USD at Critial Level
Forex trading started very well for the Aussie. It got an Easter bunny – getting close to the major resistance line. Will it break it on thin trading? AUD/USD started this forex trading week with a blast. It closed last week’s trading at 0.7191, which was within the trading range last week. In the wake … “AUD/USD at Critial Level”
Long Stock Market Rally and the Dollar
Wall Street has rallied for 5 consecutive weeks. This has contributed to the weakening of the dollar. This week, the stock market is challenged by a flood of reports that might stop the rally. Will the dollar make gains? Wall Street has enjoyed an uncommon 5 week rally. Stocks rose on good news and lots … “Long Stock Market Rally and the Dollar”
Euro Doesn’t Enjoy Good Friday
Thin trading and positive French data didn’t help the Euro today. The economic downturn in Europe is deep. It could fall more next week. Today’s holiday of Good Friday in many places around the world meant very thin trading. In such days, prices can move sharply, and sometimes break major lines, only to retreat later … “Euro Doesn’t Enjoy Good Friday”
Summers of Hope For The Dollar?
Obama’s senior advisor, Larry Summers, said that the bottom of this recession is already behind us. If his optimism is real, where does it send the dollar? President Barack Obama’s chief of the White House National Economic Council, Larry Summers spoke in a panel in Washington DC, and stated that the economic free fall will end … “Summers of Hope For The Dollar?”
AUD/USD Awaiting Employment Data to Move
The interest rate decision and the Home Loans didn’t push AUD/USD over the edge. It trades in a mixed manner. Tonight’s employment figures could move it. If not, the Aussie will enjoy a calm Good Friday… The RBA decided to cut interest rates by 0.25% to 3%. Expectations were mixed between leaving rates unchanged and … “AUD/USD Awaiting Employment Data to Move”
Euro Still Suffers Aftershocks
The Euro has been hit by the Italian earthquake and by weak Retail Sales, and seems lost. Which direction will it take? I see a gloomy picture. EUR/USD began the week with a neat weekend gap of nearly 100 pips. The new forex trading week sent EUR/USD above 1.35, and almost at 1.36. But this … “Euro Still Suffers Aftershocks”