We're at the cross-roads, main fundy focusses moving into next week will be the Greece debt issue, but more importantly IMO, we are likely to get some clarity on the Fed's stance concerning further QE stimulus.
Reuters-
FED MEETING AHEAD While investors remain wary of the euro, they are also
reluctant to take long positions in the dollar ahead of a
Federal Reserve meeting next week, where policymakers may flag
another round of quantitative easing to boost the economy. That move should weigh on the dollar and help riskier
assets rally, although analysts said some market players
thought "Operation Twist" was the more likely outcome. In such a scenario the Fed would buy longer-dated Treasury
bonds and sell shorter-dated ones to keep rates at the longer
end lower without expanding the balance sheet.
--------------------------------
edit - Sat, Sep 17 2011, 17:18 GMT
FXstreet.com (Buenos Aires) – Today, the finance Ministers of the euro zone had reached an agreement in relation to a new economic governance package, one more step forward in the path of saving the area. The package that includes five regulations and one directive, aims to improve the budgetary discipline in the member States, and strengthen the stability of the region’s economy.
The package includes new criterion on debt and deficit definitions, sanctions for countries that don’t fulfill the compliance requirements to be applied at an earlier stage, and improved transparency in the decision-making process in the EU economic governance, among others.
Although positive, as the EU is showing investors that they are ready to act unequivocally, one should wonder why it took so long. The banking crisis has been growing for almost 2 years already, while the ECB ignored it most of the first one. Will investors be actually ready to trust the euro after this?
--------------------------------
Some key mid & long-term technical support and resistance levels.
10 day sma (plotted here as a 60 period on the h4)..
61.8% fib fan line (drawn from last year's low to this year's high)..
Reuters-
FED MEETING AHEAD While investors remain wary of the euro, they are also
reluctant to take long positions in the dollar ahead of a
Federal Reserve meeting next week, where policymakers may flag
another round of quantitative easing to boost the economy. That move should weigh on the dollar and help riskier
assets rally, although analysts said some market players
thought "Operation Twist" was the more likely outcome. In such a scenario the Fed would buy longer-dated Treasury
bonds and sell shorter-dated ones to keep rates at the longer
end lower without expanding the balance sheet.
--------------------------------
edit - Sat, Sep 17 2011, 17:18 GMT
FXstreet.com (Buenos Aires) – Today, the finance Ministers of the euro zone had reached an agreement in relation to a new economic governance package, one more step forward in the path of saving the area. The package that includes five regulations and one directive, aims to improve the budgetary discipline in the member States, and strengthen the stability of the region’s economy.
The package includes new criterion on debt and deficit definitions, sanctions for countries that don’t fulfill the compliance requirements to be applied at an earlier stage, and improved transparency in the decision-making process in the EU economic governance, among others.
Although positive, as the EU is showing investors that they are ready to act unequivocally, one should wonder why it took so long. The banking crisis has been growing for almost 2 years already, while the ECB ignored it most of the first one. Will investors be actually ready to trust the euro after this?
--------------------------------
Some key mid & long-term technical support and resistance levels.
10 day sma (plotted here as a 60 period on the h4)..
61.8% fib fan line (drawn from last year's low to this year's high)..
Attached Image(s) (click to enlarge)
-- there's big money, there's small money, there's smart money and there's dumb money. smart small money becomes big money, whilst dumb big money becomes small money.
