Market Outlook 10.25

With the uneventful meeting by the G20 members, the currency market has been hyped with the currency wars as the main issue. The results were just a war of words with no actual resolution in sight. This has led the USD to continue to move lower in the Asian and European markets heading to the North American sessions.

The current levels of the USDX now is at the 76.84 from an Asian low at the 76.60bp as of this writing. the corrective move of last week were short-lived with relatively modest corporate earnings, the expected comments of the Federal Reserve key economist and the much anticipated G20 hoping to be able to resolve a stronger communique in avoiding a currency devaluation amongst other countries.

This has proven our market view report last week ending the 22nd of October mentioning that the USD corrective move may not be able to sustain simply as a mere adjustment since it has been in its technically over-sold areas, where a much needed relief would be made.

With that said, it was indeed a bullish trap for the EURUSD correcting back down to the 1.3697 for just one day. The subsequent trading day made a stronger statement erasing all its decline . And now the EURUSD is back to it 1.4058 levels. Meanwhile, the EURGBP have been very resilient with the prices at the 0.8940 high as it tries to continue to move further with the help of the GBPUSD pacing at a slower pace with the Euro.

For further analysis and market outlook for the week-ending October 29; pls visit our website at http://www.megatrade101.com/