| | | | * Dollar will Feel Reverberations of FOMC Decision, Greek Referendum
* Euro: Greece Heading for the Door and the ECB Under New Management
* New Zealand Dollar Tumbles as Employment Figure Meets Risk Aversion
* Australian Dollar Sees Mixed Performance in the Wake of RBA
* British Pound Will Take in Service Sector Report, but Defer to Euro Health
* Japanese Yen at High Risk of Volatility as Sentiment Wavers, Azumi Watches
* Gold Consolidating as Financial World Awaits ECB Stimulus Options
| Written by: John Kicklighter, Senior Currency Strategist
|
| Dollar will Feel Reverberations of FOMC Decision, Greek Referendum | Risk trends have eased up on the wholesale capital withdrawal of the opening 48 hours of trading this week. And, after such a dramatic draw on sentiment, the market is left wanting for another catalyst to determine the next phase in its evolving trend. The same need for a driver exists for the US dollar. The extreme safe haven currency may need another shock to financial stability to maintain the 3.7 percent, 5-day rally for the Dow Jones FXCM Dollar (ticker = USDollar). There are a number of big ticket events through the final two trading days of this week; but the influence they have over underlying sentiment trends is questionable. That is not a strong fundamental position for dollar bulls. On the other hand, many of the market's favored sentiment gauges have backed up to meaningful and well-worn support - and when the speculative crowd comes sees the cliff, it doesn't take much of a push to encourage a mass exodus from already strained positions. To get a sense of the influence of this collective precipice; we note that the S&P 500 is holding at the frequently contested 1,215 level, the FTSE 100 hovers just above 5,375 and EURUSD is holding the line at 1.3650. Congestion equates to a fundamental balance, which is easily tipped by risk...
|
Best regards,
DailyFX Research Team
research@dailyfx.com |
| | | | Forex Capital Markets, L.L.C.® assumes no responsibility for errors, inaccuracies or omissions in these materials. Forex Capital Markets, L.L.C.® does not warrant the accuracy or completeness of the information, text, graphics, links or other items contained within these materials. Forex Capital Markets, L.L.C.® shall not be liable for any special, indirect, incidental, or consequential damages, including without limitation losses, lost revenues, or lost profits that may result from these materials. Opinions and estimates constitute our judgment and are subject to change without notice. Past performance is not indicative of future results. | | | |
21:41
AutoForexTradingPro
