. . . gave-in on the downside " making a low for the USDX at the levels of 77.14 starting with the Asian Session and towards the European session giving the GBP/USD & EUR/USD the uplift from the previous week's low price. specially for the GBP/USD after establishing a low at 1.6110 and now working on the 1.6504 as of this writing with a high of 1.6585. The previous low now becomes the next higher bottom price levels in support of the weekly technical charts shown in this figure. As for the USD/CHF as we can only speculate; watch for the psychological price that the SNB may consider intervening in the market as there is quite a disparity when it starts to consolidate at the price levels of 1.0380 and with a lower price range thereafter may trigger some indirect fresh long positions along the way.
As Gold has penetrated its psychological resistance price of USD 1,000.00 most investors have made their shift from the previous weeks roller coaster ride of Gold prices with the most recent low at USD 980.00/troy oz. the previous day. It has been more of a US Dollar related movement rather than anything else. As Gold becomes the currency of Last Resort as we mentioned in one of our hub page articles at : http://hubpages.com/hub/Megatrade101 .
Even from the lower blogs that we did from the previous weeks, we have already been emphasizing the gravity of the US Dollar to further move lower as the overall negative sentiments on the unemployment no.'s that came out a 9.7% increase and the 9 Trillion USD national debt in the next decade making it close to 20Trillion US Dollars by the year 2020 as reported by the government made things worst than it is.
On top of the remarks stated by Mr. Warren Buffet in his comments in the New York times that there is an out of control spending by the government, an 8% -13% percent of GDP on our National Debt weighed heavily on the future of the US dollar value. As shown on the other technical chart.
So we are left with no other recourse but to stay the course on a heavily unfavorable dollar as the turnover volumes report by the Reserve bank of Australia reported a 2.5 Trillion decline from October of 2008 to April of 2009 which led the currency market move cash capital investment into emerging markets of other countries. Please refer to our Market View report and analysis no. 16 as it will show a summary of that report.
Good Luck and Happy Trading !
On top of the remarks stated by Mr. Warren Buffet in his comments in the New York times that there is an out of control spending by the government, an 8% -13% percent of GDP on our National Debt weighed heavily on the future of the US dollar value. As shown on the other technical chart.
So we are left with no other recourse but to stay the course on a heavily unfavorable dollar as the turnover volumes report by the Reserve bank of Australia reported a 2.5 Trillion decline from October of 2008 to April of 2009 which led the currency market move cash capital investment into emerging markets of other countries. Please refer to our Market View report and analysis no. 16 as it will show a summary of that report.
Good Luck and Happy Trading !
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