A new week is about to begin and stock markets are nervous. Important events could be seen during the week, mainly the United States elections to which Wall Street responded "somewhat nervous" before a comment President-elect to say that rule to "Main Street" (main street) and not for "Wall Street". However, the market closing on Friday reassured blue.
Another event of importance during this coming week will be a big meeting of G 20, the results could mark a new milestone in the financial markets. This meeting indicates a new world precedent that is the recognition by the major economies of the world that this crisis is global and the solution or at least the measures to be taken will be comprehensive and coordinated. Finally, we called the attention of the leadership to take the Brazilian economy, maybe we'll see soon Brazilian Real in FOREX platforms ...
Fundamental Analysis
The U.S. economy continues to show negative results, with a loss of jobs to 240,000 (Non-Farm Payroll) and unemployment rises to 6.5% of the workforce, against 6.1% the previous period. Also the U.S. housing market shows signs of weakness he gives a fall of 4.6% compared with September. As for the Euro zone, although the news is not encouraging as well, reducing interest rates by the European Central Bank to 3.25 points, implying that future are also low come indicates a strong downward pressure on Euro.
The market has taken the situation on both sides of the Atlantic as a situation where "tables", maybe slightly in favor of the dollar.
summing up of our fundamental analysis we need the Fed is running short of ammunition to stimulate domestic demand, in contrast to the Euro zone where the European Central Bank still has to have an operating margin rate of 3, 25% allowing for further reductions. Therefore, we hold that the Euro should continue to weaken against the dollar in the long term.
Technical Analysis
As we predicted, the Euro broke the trend line downward acceleration, whose next stop should be facing the main trend line (see figure below). ![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiKQdukjGvlCVa-iUcR9cWGabVqCJhVesKn35Nm32HCmuqa2gayF30G0j4HdW3DJTdLGSr_gZzt9cUJH6GmB6mah_TPIkIm0FP5RPZspi6VmiLpgXktWWeT_DlgFuJAAynaJyvbhBLcbyQ/s400/EURUSD_09-Noviembre.gif)
This way, you can take through a secondary trend upward or congestion (to be relatively flat). Apparently, due to instability in the markets, it is likely that the second option, ie a phase where congestion is the path taken by the Euro. Within this phase are very useful technical oscillators.
Our technical oscillators are in the middle, ie a non-marking trend to continue, once again adding a level of uncertainty in the direction taken by the market.
In summary, we think that uncertainty as the main focus is now on the market FOREX EUR / USD . deem it wise not to take sides at this time and wait for the Euro that faces the main trend line
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