Market Reversal - Wolf Call

As the Forex market increases its intense trading activities through the past weeks we have seen some dramatic movements of price fluctuations from the major currencies and the precious metals. With Gold climbing to USD1364.55 high and dropping to as low as USD1327.30 within the North American trading session, while the Euro and the Cable initially topped at the 1.4028 and 1.6016 respective highs also retreated back down have made a lot of traders and analyst called these signals as market reversal. As every blog and articles written for the past 24 hours from most of the retail broker's outlook have signified to this prior to the NFP report today. Its the day where the boy who cried "Wolf"

Every trader always wants to be able to be the first to call and prove their abilities in trading the market. So do we, except with respect to the market it take these things one step at a time. As we try to share our market sentiments the way we see and analyze the market conditions before a possible price movement can happen.

So far, our market view still remains the same and the price reversal that we have seen were just part of the price adjustments made by major players both long settlements and short-covering since position adjustments normally takes place before a major report comes in to the picture. Which we all should be able to excercise due diligence in our trading practises before any major event takes place. Please pay close attention to the market behavior other than anticipating price and trend reversals based only on what the major players in the market place wants you to see. Candlestick formations and bar configurations which every trader sees in front of their computer screens are viewed one and the same. The irony is that every trader that doesn't look into it deeper and simply weigh the technicals would be in deep trouble.

Please excercise every possible caution while trading in these market conditions.