Non Farm Payrolls

Speaking with a friend (a professional trader for a bank) at the game yesterday, he thinks this weeks NFP maybe to the upside and could surprise everyone. He is basing that on his companies analysts calculations. This morning we tried to see why that could be and even from a geo political stance we did not make that conclusion. However, it wont affect us and should not affect most of you reading this as NFP will not be traded. We will be out with a good friend of ours at the time.

US ISM is due out today. We are seeing typical range bound movement prior to tomorrow. This is the time most trending strategies get tired as technical are overshadowed by fundamentals.

Finaly Bernanke is admitting to a recession.....well at least recession fears. We have been harping on about this for months and with his back to the wall he has stated what we all already new. Makes you wonder if he has genuinely just figured this out and the vast majority of us already knew it then should he really be where he is. It would not be beyond the Presidents capability to remove Bernanke from his post. By the way, Bernake is talking toady as is Trichet and the Bear Stearns hearing take place so by tonight we could have some interesting news.

The Euro Dollar has found support at a T/L and 20 MA. These are the times where you wait for a breakout and use the ESL technique. The DD strategy is temporarily discontinued until next week.

Good trading.

Forex Analysts
Javid Shaik & Anne Chapman