Archived IMT (2009.08.07)

STERLING's POST-QE DAMAGE intensifies across the board after RBS posted 1 billion loss, triggering back woes on UK banking sector and validating the BoEs decision to expand its easing. GBPUSD weekly chart shows a gravestone doji, which is an extremely bearish price pattern, suggesting prolonged losses into next week. $1.6550 is a realistic target for today, especially in the event of deteriorating risk appetite in US equities. With rumors pointing towards a drop in US payrolls of only 250K from Junes -467K, this implies much possibility for a disappointment. Unemployment rate expected at 9.6% from 9.5%. ALL JPY crosses are down as per the charts in yesterday's IMT, which stipulated the resistance for each of EURJPY, AUDJPY and USDJPY. http://twitpic.com/cyurx