{"id":6966,"date":"2010-02-19T10:33:28","date_gmt":"2010-02-19T15:33:28","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=6966"},"modified":"2010-02-19T10:33:28","modified_gmt":"2010-02-19T15:33:28","slug":"eurusd-bounces-above-1-35-after-another-heavy-selloff","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/02\/19\/eurusd-bounces-above-1-35-after-another-heavy-selloff\/","title":{"rendered":"EUR\/USD Bounces Above 1.35 After Another Heavy Selloff"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Selloff in the EUR\/USD and the risk trade continued yesterday.\u00a0 Investors are still concerned about the ability for Greece to enact its fiscal austerity along with debt worries in other Mediterranean nations.\u00a0 Additionally, the Fed shocked markets by raising its discount rate by 25 basis points, signaling that the emergency window may be closing.\u00a0 Investors reacted by buying up the Dollar across the board, sending the Euro below its highly psychological 1.35 level.\u00a0 However, the Euro is bouncing from intraday lows after the EU Flash PMI data set printed mix.\u00a0 Although services production slipped across the board and France slowed altogether, manufacturing in Germany shot up from 53.7 to 57.1, eclipsing analyst estimates of 54.1.\u00a0 Additionally, Germany\u2019s PPI grew the most since August 2008 while the EU\u2019s Account Balance rose for only the 2nd time since the inception of the economic crisis.\u00a0 Hence, it seems demand for German manufactured goods is climbing, leading to an increase in exports and consequently a positive Current Account.\u00a0 Although today\u2019s data does show the EU\u2019s economic recovery is slowing, Germany provided a silver lining and is giving investors a reason to support the Euro after heavy declines.\u00a0 The change in sentiment is reflected in a large move higher by the EUR\/GBP as investors react to discouraging UK Retail Sales data.\u00a0 Meanwhile, investors are awaiting U.S. CPI data.\u00a0 We\u2019ve seen prices rise across the globe and it wouldn\u2019t be surprising if U.S. consumer prices also outpaced expectations.\u00a0 In fact, the Fed could have raised rates at the discount window in advance of such a turn of events, but we will have to see.\u00a0 Investors should also keep an eye on how U.S. equities react to the Fed\u2019s decision to lift the discount rate since it occurred after the close yesterday.<\/p>\n

Technically speaking, we\u2019ve formed some new uptrend lines for the EUR\/USD and the 1.35 area could serve as a technical cushion for the time being.\u00a0 As for the topside, the currency pair faces multiple downtrend lines along with 2\/12 lows and 2\/18 highs should they be reached.\u00a0 That being said, the EUR\/USD is in blue territory due to the lack of near-term activity in this area to serve as technical levels.\u00a0 Hence, the EUR\/USD could continue to fluctuate wildly until establishing a new range.<\/p>\n

Present Price: 1.3517<\/p>\n

Resistances: 1.3532, 1.3543, 1.3559, 1.3570, 1.3582, 1.3592<\/p>\n

Supports:\u00a0 1.3509, 1.3486, 1.3473, 1.3456, 1.3440<\/p>\n

Psychological: February lows, 1.35<\/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 Selloff in the EUR\/USD and the risk trade continued yesterday.\u00a0 Investors are still concerned about the ability for Greece to enact its fiscal austerity along with debt worries in other Mediterranean nations.\u00a0 Additionally, the Fed shocked markets by raising its discount rate by 25 basis points, signaling that the emergency … <\/p>\n

Continue reading “EUR\/USD Bounces Above 1.35 After Another Heavy Selloff”<\/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-6966","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/6966","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=6966"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/6966\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=6966"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=6966"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=6966"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}