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Dollar Stability Choppy & Temporary
The dollar's much anticipated stabilization is bound to be choppy at best
redstone, not fan of year end targets but if you want one for gbpaud d say 1.99.
Ashraf
you are right again!! :)i did not take ur call or the idealglobal call..... from ur last post you mention about the green shoot..... As I am have not study economics thus I am very confuse about the discussion tht you guys mention. I reading the fibo text and trying to use it on forex but my knowledge is limited.... Getting ur book soon hopefully i can have more in depth knowledge tht i can learn from ur book. Btw i did notice tht we are over the 89 days up trend movement and follow by 55 days corrective movement in technical wise from fibo...
Am I looking at it correctly?? tht this quarter we are seeing bearish movement??
THIS IS FROM MY ANALYSIS TO CMC CLIENTS TODAY:
Unlike the Last Earnings Season
As we enter US earnings season, its worth reminding that much of the upward momentum in the Mar-June equity rally was initiated by a host of positive pre-announcements ((Wells Fargo), less than feared losses (JP Morgan Chase) and rare profitable figures (Citigroups first profitable quarter since 2007), all of which proved effective in squeezing out the shorts. The conclusion of Q1 earnings was followed by the Treasurys stress tests, whose capital requirements were mooted by banks already improved capital structure on the back of the +40% rally in indices. As equities outperformed and the Fed announced its treasury purchases (mid March), the only way for the US dollar was down, which in turn propelled global demand for commodities and fortified the rally in emerging markets, hence the notion of green shoots.
Ashraf
as my personal experiance tought me that commodity complex is not atall crystal clear and as per as crude is concern,Charts telling me that it may be bit impossible for crude to fall below $58-$57 range.From my point of view we are in correction and the market will regain its upward momentum within day or two.Look at gold and crude, the upward shift is here to stay for sometime.
regards,
Rajib.