What’s Up, What’s Down: Spotlight on Currencies
Comments for Thursday, March 8, 2010
Looking Ahead to Today by Reflecting Back at Wednesday’s Price Action
CURRENCIES:
Higher settlements yesterday for the Japanese Yen, Aussie Dollar and dollar index while lower for the Euro Fx, Swiss Franc, British Pound and Canadian Dollar. The Euro continues to be in a down-trend while the franc continues to have a different chart pattern but was hurt by Tuesday’s action and is back in a strong support area. Normally, these two currencies have the same chart pattern.
The yen settled higher again also but is still in a strong down-trend overall. On the other hand the yen has some resistance around the 1080 area but really very little up to 1100 basis the June contract. The Canadian Dollar made another new CONTRACT HIGH but closed lower this time in reversal type action. Now we can look for a possible retracement down to the 9800 area. Still this currency is in a strong uptrend overall.
The pound closed one tick lower still forming a possible bottom while relatively close to a buy signal. The Aussie Dollar made another new CONTRACT HIGH AND CLOSE as shown below while the dollar settled higher again, after holding a strong support around the 8100 area last week, continuing to be in an uptrend overall acting like it will test its highs. BUY SIGNALS FOR THE DOLLAR INDEX, CANADIAN AND AUSSIE DOLLAR. SELL SIGNAL FOR THE EURO FX. CALL FOR DETAILS!
Read the balance of my morning comments, including the Metals, Softs, Energies and Grains, at my website. For my complete coverage, visit my commentary page at www.markethead.com.
Rick Alexander has been a broker and analyst in the futures business for over thirty years. He is a Vice-President for Sales and Trading at the Zaner Group (www.zaner.com) a Chicago-based futures brokerage firm. If you would like a free booklet explaining the charts mentioned above, email Rick at ralexander@zaner.com.
The information in this Report and the opinions expressed are subject to change without notice. Neither the information nor any opinion expressed constitutes a solicitation by Rick Alexander or the Zaner Group of the purchase or sale of any futures or options. Futures and options trading is speculative in nature and involves risks. Spread trading is not necessarily less risky than outright positions. Futures and options trading is not suitable for all investors.