Comments for Friday, October 29, 2010
Looking Ahead to Today by Reflecting Back at Thursday’s Price Action
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors.
Higher for the British Pound, Canadian Dollar, Aussie Dollar, Euro Fx, Japanese Yen and Swiss Franc while lower for the dollar index reversing the action of Wednesday. All of the currencies continue to be in long-term uptrends overall but there is some potential toppy action going on in some of the currencies. I already have a sell signal in the franc while now in a small BEAR PENNANT while the euro either is in a potentially toppy mode or a BULL TRIANGLE to confuse the issue. Either way euro/franc spreading has been going on lately reversing a long trend the other way.
While I have a buy signal still in place in the Canadian dollar it really hasn’t gone anywhere since early September but does show a potential large top forming. The Aussie Dollar also looks a little toppy but is in a BULL TRIANGLE like the euro. The dollar index settled lower this time while attempting to form a potential bottom at this time. and it feels like it may be setting up for a retracement rally since it seems to be holding up well in spite of the US government acting like it will soon have another stimulus package as it tries to hold onto seats in the house and senate.
However, one must assume the dollar will keep on working lower until the formations actually, if they do at all, turn up. I FOUND OUT OVER THE YEARS(38 1/2) TRYING TO OUTGUESS THE MARKET ALMOST NEVER WORKS BUY ITSELF WITHOUT TECHNICALS TO BACK IT UP. BUY SIGNALS FOR EURO FX, AUSSIE DOLLAR, BRITISH POUND, CANADIAN DOLLAR AND JAPANESE YEN. SELL SIGNALS FOR THE SWISS FRANC AND DOLLAR INDEX. CALL FOR DETAILS!
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. Email Rick at firstname.lastname@example.org.
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.