{"id":10162,"date":"2010-06-11T08:45:32","date_gmt":"2010-06-11T12:45:32","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=10162"},"modified":"2010-06-11T08:45:32","modified_gmt":"2010-06-11T12:45:32","slug":"in-the-eu-no-news-is-good-news","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/06\/11\/in-the-eu-no-news-is-good-news\/","title":{"rendered":"In the EU No News is Good News"},"content":{"rendered":"

By Fast Brokers<\/strong> – The EUR\/USD is consolidating after climbing back above 1.20 in the wake of a return to a risk trade across the board. \u00a0No news in the EU has proven to be good news for the EUR\/USD as sovereign concerns abate. \u00a0Additionally, solid data from Asia has given a boost of confidence to investors that the global economic recovery is on track despite weakness in the EU. \u00a0Both employment in Australia and demand for Chinese exports surpassed analyst expectations. \u00a0Since the EU has been relatively quiet on the data wire this week, positive fundamentals in Asia have allowed the risk trade to rebound and the Euro is following suit. \u00a0Meanwhile, the ECB kept its previous monetary policy unchanged and Trichet also gave a boost to investor confidence by upping the central bank\u2019s expectations for EU GDP growth. \u00a0A depreciation of the Euro should boost demand for European made goods, buoying GDP despite budget cuts designed to smash speculators. \u00a0However, investors should remain cautious. \u00a0Just because there has been no news does not mean that conditions in PIIGS countries have changed fundamentally. \u00a0Serious problems remain and the potential for another negative development is on the table. \u00a0Regardless, stability in the EUR\/USD is welcome and it will be interesting to see whether the currency pair can extend its new upward momentum. \u00a0The FX markets should end the week with a kick since the U.S. will release retail sales and consumer sentiment data. \u00a0An improvement in U.S. consumption could drive the risk trade higher, whereas a surprise setback in consumption-related data could drag the EUR\/USD back towards 1.20. \u00a01.20 is a key psychological level and it wouldn\u2019t be surprising to see another near-term battle ensue.<\/p>\n

Technically speaking, the EUR\/USD faces multiple layers of topside barriers, beginning with intraday and 6\/4 highs. \u00a0As for the downside, the EUR\/USD support in the form of a new uptrend line running through June lows along with the highly psychological 1.20 level.<\/div>\n
<\/div>\n
Present Price: 1.2113<\/div>\n
Resistances: 1.2145, 1.2169, 1.2191, 1.2205, 1.2221, 1.2237, 1.2264<\/div>\n
Supports: \u00a0 1.2107, 1.2093, 1.2073, 1.2059, 1.2034, 1.2020, 1.991<\/div>\n
Psychological: June lows and highs, 1.20, 1.19<\/div>\n
\"\"<\/a><\/div>\n
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(click chart to enlarge)<\/p>\n

Market Commentary<\/strong><\/em> provided by Fast Brokers<\/strong>.<\/a><\/p>\n

Disclaimer:<\/strong> FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regarded neither as an investment advice nor as a solicitation or an offer to sell\/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n

Risk Disclosure:<\/strong> There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

By Fast Brokers – The EUR\/USD is consolidating after climbing back above 1.20 in the wake of a return to a risk trade across the board. \u00a0No news in the EU has proven to be good news for the EUR\/USD as sovereign concerns abate. \u00a0Additionally, solid data from Asia has given a boost of confidence … <\/p>\n

Continue reading “In the EU No News is Good News”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-10162","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10162","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=10162"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10162\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=10162"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=10162"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=10162"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}