{"id":6503,"date":"2010-02-03T11:29:18","date_gmt":"2010-02-03T16:29:18","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=6503"},"modified":"2010-02-03T11:29:18","modified_gmt":"2010-02-03T16:29:18","slug":"eurusd-jackknifes-as-risk-comes-and-goes","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/02\/03\/eurusd-jackknifes-as-risk-comes-and-goes\/","title":{"rendered":"EUR\/USD Jackknifes as Risk Comes and Goes"},"content":{"rendered":"

By Fast Brokers <\/strong>– The EUR\/USD staged a solid rally over the past 24 hours as investors returned to the risk trade with the lack of negative psychological forces.\u00a0 The EU later fed the rally by announcing it is backing Greece\u2019s plan to get its fiscal house in order.\u00a0 However, it remains to be seen whether this is a sign of concrete support or a political move to give the Euro some psychological support.\u00a0 The risk trade has made a direct u-turn during the U.S. trading session after the headline U.S. ADP Non-Farm Employment Change number printed stronger than analyst expectations.\u00a0 In fact, the barometer almost registered jobs growth.\u00a0 On the downside, the ADP data revealed that announced layoffs increased significantly, taking a bit of the optimism out of the number.\u00a0 Either way, this data point has proven to be Dollar positive.\u00a0 Encouraging jobs data along with recent positive data releases has made the Dollar an ideal safe haven amidst global economic uncertainty.\u00a0 Furthermore, the fact that EU headline Retail Sales data printed 5 basis points below analyst expectations didn\u2019t help matters either.\u00a0 Meanwhile, investors are awaiting America\u2019s Services PMI data due shortly.\u00a0 An outperformance in Services data could give the Dollar another boost, whereas a negative could strengthen the EUR\/USD from intraday lows.\u00a0 Activity should remain at a heightened state over the next 24 hours with the ECB and BoE making monetary policy decision on Thursday.\u00a0 It\u2019s difficult to imagine the ECB will tighten liquidity considering the debt issues in Greece combined with recent underwhelming data.\u00a0 However, central bank statements usually move markets so investors should keep a sharp eye on behavior in the major Dollar crosses.<\/p>\n

Technically speaking, the EUR\/USD faces topside technical barriers in the form of multiple downtrend lines along with intraday, 1\/29, and 1\/28 highs.\u00a0 Furthermore, the psychological 1.40 level could serve as a technical barrier should it be retested.\u00a0 As for the downside, the EUR\/USD has multiple uptrend line serving as technical cushions along with previous January lows.\u00a0 The EUR\/USD has more uptrend lines waiting in the distance, although they are sitting off screen at the moment.\u00a0 Our 1st and 2nd tier uptrend lines could carry some weight since they run through April 2009 lows.\u00a0 That being said, a failure of our 1st tier could send a fairly negative signal considering April 2009 lows are around the 1.30.<\/p>\n

Present Price: 1.3944<\/p>\n

Resistances: 1.3974, 1.3999, 1.4026, 1.4056, 1.4101, 1.4136<\/p>\n

Supports:\u00a0 1.3931, 1.3906, 1.3878, 1.3857, 1.3833, 1.3806, 1.3782<\/p>\n

Psychological: 1.40, January lows<\/p>\n

(click to enlarge)<\/p>\n

\"\"<\/a><\/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 regardedneither 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","protected":false},"excerpt":{"rendered":"

By Fast Brokers – The EUR\/USD staged a solid rally over the past 24 hours as investors returned to the risk trade with the lack of negative psychological forces.\u00a0 The EU later fed the rally by announcing it is backing Greece\u2019s plan to get its fiscal house in order.\u00a0 However, it remains to be seen … <\/p>\n

Continue reading “EUR\/USD Jackknifes as Risk Comes and Goes”<\/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-6503","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/6503","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=6503"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/6503\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=6503"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=6503"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=6503"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}