Weekly Indicator Review and Outlook
SUMMARY The week has seen the Dollar remain in a sideways trading range against EURUSD and USDCHF to leave them both well balanced between both bullish & bearish points of view. Early trading next week will highlight the next larger move. The week also saw USDJPY reverse its move higher to end looking still quite weak and further losses should be anticipated over the course of the coming week. The same can be said of the beleaguered British Pound while the JPY crosses still tend to have a
Stock Traders Ignore Weak Housing Data; Focus Shifts toward Weaker U.S. Dollar
Stock traders ignored the weaker existing home sales report and turned its focus on the U.S. Dollar which weakened because of increased demand for higher risk assets. This week’s testimony by Fed Chairman Bernanke may have set the tone for today’s rally. Earlier in the week, Bernanke said that interest rates would remain low for a prolonged period of time which may have triggered demand for higher yielding stocks. The rally on Friday put the March E-mini S&P 500 in a position to