The presence of market volatility has ever increased for the past weeks, since the beginning of the new month of October and practically at the start of the 4th quarter trading activity. With the market's positive reaction from the NFP and Jobs data have fueled a dramatic move for the USD.
Let alone the FOMC minutes have provided a magnificent lift for stocks making a strong comeback only to give it back with "uncertainty" towards the rest of the emerging economies that would ripple through the US economy as the overall general outlook. The market's ability to shift market sentiments is amazingly reflected with the Dow's price action alone have dominated market movements across the board.
The 16500 for the Dow is again a retest of its benchmark support which we have seen a close call from the first decline but fell short @16575 levels and currently with a low @16611 session low as of the 10th of October. A true test would be made as long as the prevailing sentiments remain and carry over for the coming week. Money flows out of stocks and remains high with the safe haven status of the US Dollar as of this time. This is in contrary outlook even with the negative comments from the IMF bearish sentiments which was one of the catalyst for the initial decline of the USD.
Click to continue: Market Volatility DOW & USD
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