Pound Getting Hammered
The leading contract on the
Implosion-5 List,
British pound
(
BPM1 |
Quote |
Chart |
News |
PowerRating) sank to a new 15-year low today, falling in
tandem with continental currency futures. A report out today showed producer
prices in the UK rose at their fastest pace in seven months, which crimps the
Bank of England’s maneuvering room to cut interest rates to stimulate the
economy. Perhaps more importantly, the reality that the UK might join the
12-nation, single-currency euro bloc became more real as the BOE released a
report predicting the country could start using the currency much sooner than
originally forecast. The view here is that the euro will have to fall in value
before entry into the currency bloc.
Euro FX futures
(
ECM1 |
Quote |
Chart |
News |
PowerRating) are down on news that
Europe’s economy slowed more than expected. The euro FX is lower and making good
on a Pullback From Lows
setup.Â
Also from the Implosion-5 List,
Swiss francs
(
SFM1 |
Quote |
Chart |
News |
PowerRating) are trading on their lows of the year and are
making good on a Pullback From Lows
setup. The Swiss economy is predicted to contract to a bout a 1.8% annual growth
rate and the Swiss Central Bank is widely expected to cut rates by
25-basis-points this Thursday at its monetary policy meeting.Â
After failing to hold the .8430 area of their prior
expansion thrust, of
Japanese yen
(
JYM1 |
Quote |
Chart |
News |
PowerRating) are breaking down on news the Japanese economy
contracted in the first quarter. The yen is making good on an Off The Blocks
setup off its
New 10-Day Low reading.Â
June dollar index futures
(
DXM1 |
Quote |
Chart |
News |
PowerRating) are benefiting from the declines
in the values of the currencies of its major trading partners and up .88 at
120.15, a new contract high.Â
Nasdaq 100 futures
(
NDU1 |
Quote |
Chart |
News |
PowerRating) gapped lower, opening at their Pullback From Lows
trigger. Naz are also negatively influenced by negative CHADTP and TRIN Thrust
readings from the
Market
Bias Indicators Page.Â
The leading contract on the Momentum-5
List,
August lean hogs
(
LHQ1 |
Quote |
Chart |
News |
PowerRating) lapped open to a new contract high and
have returned to opening levels after filling the morning gap.