Another slow day

Since the news we have not had much activity. This is undoubtedly because now the commercial traders are awaiting tomorrows non farm data at 1.30pm. Expect a lot of volatility with this.

Weekly Euro

Above is the weekly chart of the Euro. The red lines are support & resistance. The blue line is the 200 EMA & the black arrow was showing the previous trend down before the correction. If we do continue downward (which overall I suspect we might) then it looks like we are getting a head & shoulders formation.

No movement

So far this morning we have seen no movement. We will probably see little movement between now and around 1.30pm when we have an interest rate statement from BoE & ECB. We also have President Trichet speaking at 1.30pm as well as Unemployment Claims from the US at the same time so I would hold off placing any trades until all of these have been factored in & Trichet has finished speaking.

The active wave for GBP has now retraced (just). Lastly wait for the confirmation then place the trade accordingly.

Good luck today.

Today's Euro values

Hopeful you all managed to sell the rallies yesterday. Be patient today and wait for the reversal signals.