Breakouts and retests all over the place.
EURUSD – Breaks down through range. Unless it can regain the range and push up, it has reconfirmed its down trend. +1 USD.
GBPUSD – comes in for a retest of range low. Neither +/- for USD.
USDCAD – breaks higher, nicely above our suggested entry of a couple weeks ago. Provided it remains above this break out area, +1 USD.
USDJPY – breaks out of declining consolidation zone, heading in for retest of December highs. +1 USD.
Predictable Effect on Gold
Both the USD and Gold, moving in opposite directions as they do, are quickly leaving the point of no return. At the moment, Gold shorts (or those flat this market) are feeling good about their decisions. Perhaps when the TV commentators finally stop talking about the falling US dollar, it will stop rising… but in the meantime, no long-side trade exists in Gold.
05.02.08 10:14 #