Analysis Topic: Currency Market Analysis
The analysis published under this topic are as follows.Wednesday, April 07, 2010
Alert, Euro On Verge of Real Crisis / Currencies / Euro
Something big is up, and it’s possible the Euro is going into a real crisis within two months…Is this the next big market surprise ala Lehman? Not exactly like Lehman, but of the scale of that crisis that shook the entire world and almost caused worldwide bank shutdowns in Fall 2008? I am beginning to think so, and have been discussing this looming new worry for subscribers, IE we are right at the cusp of something big for the Euro and the European Union, not only financially but very much so politically. Imagine what a real Euro crisis would do to – everything!
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Wednesday, April 07, 2010
Rebuttal: Martin Wolf FT piece “Revaluing Reminibi” / Currencies / China Currency Yuan
Martin Wolf article in FT Revaluing Reminibi was an insightful piece of writing making an overwhelming case for the revaluation of the Yuan. I respectfully disagree with him and think that he too has given into the “crowd thinking” behind Yuan revaluation which is being led by Goldman, Geithner and a host of Investment banks in the US.
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Tuesday, April 06, 2010
Euro Speeding Towards the Currency Graveyard / Currencies / Fiat Currency
Between 1998 and 2002 I published several articles on how the just born euro currency would ultimately fail, resulting in the collapse of the European Monetary Union.
Almost everyone, even my colleagues, scoffed at my forecast. But my reasoning was sound: No matter what the short-term benefits of the new euro, mainly in trade within Europe, I said, long term, there was no way the euro would survive, because …
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Thursday, April 01, 2010
U.S. Dollar Climbing Against Yen / Currencies / US Dollar
Everyday this week (so far) the USD has climbed against the Yen. Today's action, in particular, is impressive because the USD has climbed, hurdled and sustained above its prior significant recovery rally peak at 93.78, which was established in Jan. The fact that the USD is so relatively strong vis-à-vis the Yen likely reflects the perceived and actual strengthening of the US economy compared with Japan. Tomorrow's Employment data (non-farm payrolls) could provide the catalyst for another thrust in USD/Yen.
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Thursday, April 01, 2010
China Currency Overtaking the U.S. Dollar: The Three Phases of Yuan / Currencies / China Currency Yuan
The use of the Chinese Renminbi in Hong Kong is on the increase.
Over the last ten years, the Renminbi (RMB) or yuan, has been slowly gaining influence in the markets that surround mainland China. And about one year ago Hong Kong, a major commerce and trading hub, introduced a new trade settlement that allowed Hong Kong business’ to use the RMB as a trading currency.
Thursday, April 01, 2010
Has Sterling Found its Feet? / Currencies / British Pound
The Technical Trader’s view:
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Thursday, April 01, 2010
EUR/JPY Base Now Complete / Currencies / Forex Trading
In a recent Update we noted that bears in the EURJPY cross rate were looking tired, although nothing bullish had been signaled at that stage. Latest action, however, has seen a short term base complete, with a bull signal now in place.
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Tuesday, March 30, 2010
Forex Market Signals from Commodities and LIBOR / Currencies / Forex Trading
The impact of interest rate differentials on FX is highlighted by the fact that the correlation between EURUSD and GE-US 10-year yields is now at +0.90, the highest since June 2007. Global bond yields may be rising across the board but the 10-year yield differential between Germany and the US continues to deteriorate for Germany, hitting 3-year lows at 0.73%.
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Friday, March 26, 2010
U.S. Dollar Index Going Higher? / Currencies / US Dollar
It has been a while since we looked at the dollar index, so today we decided to dissect this market and look at it step-by-step.
What is happening in this market is very interesting and I think you will see in this short video just what we have in mind.
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Friday, March 26, 2010
USD/JPY Bulls Straining at Their Leash / Currencies / Forex Trading
Last November saw a bear break that, in the end, amounted to a type of blow-off move, with subsequent quick recovery putting the bulls in contention once more. However, there were key resistances to overcome, and one of which has just been violated…
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Thursday, March 25, 2010
Will the U.S. Dollar Continue Rallying? / Currencies / US Dollar
Now that we see the USD rising again over 81 on the US Dollar Index (USDX) the question becomes will we possibly see 91 USDX sometime in 2010?
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Thursday, March 25, 2010
Euro Currency Bashing, How Perceptions Have Changed / Currencies / Euro
Not long ago the euro was rising, and everybody seemed to hate the U.S dollar. During that market phase I constantly asked a rhetorical question: Why do you think the euro is any better than the dollar?
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Thursday, March 25, 2010
U.S. Dollar Gains on Healthcare Reform and Economic Hope / Currencies / US Dollar
Sparked by continued optimism about the economic situation and enthusiasm surrounding the passing of the massive healthcare system overhaul, the dollar has surged this week against major currencies and commodities.
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Wednesday, March 24, 2010
The U.S. Dollar Rules / Currencies / US Dollar
Life is like a box of chocolates. You never know what you’re going to get! - Forrest Gump
Today is a continuation of yesterday in the sense that we are seeing some markets breakout and define their new directions. Yesterday the Dow posted a triple digit gain and closed well above what should have been strong resistance at 10,817, and early this morning we saw the US dollar rocket thru what had been strong resistance at 81.32. Right now the June US dollar futures contract is trading up .92 at 82.03, and although I can’t be sure where it will close, I feel fairly confident in saying that it will close above 81.32. The significance of this move is important and implies a lot more than the fact that the dollar is currently “strong”.
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Wednesday, March 24, 2010
U.S. Dollar Trend and China News Impact on Gold / Currencies / US Dollar
In the March 12-th commentary we've discussed the influence that China might have on the precious metals market and since the feedback was very positive, we decided to provide you with a follow-up.
April 15th is the date to watch. That’s when the U.S. Treasury Department is mandated by law to issue a report identifying nations that “manipulate the rate of exchange between their currency and the United States dollar for purposes of …gaining unfair competitive advantage in international trade.”
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Wednesday, March 24, 2010
CHF Remains Undervalued vs. Gold / Currencies / Forex Trading
Large specs bearishness oversold snb probably a currency manipulator.
Chart i correlation study decline from 95% to 62% since jan. 2009, franc lags gold rise positive correlation historically strong chart ii sentiment cot large speculators usually reverse direction from current levels 1% spikes in usdchf within a few hours such as the morning of march 24 probably snb anti-deflation intervention
Sunday, March 21, 2010
Jim Rogers on Chinese Currency and Trade War: My Thoughts / Currencies / China Currency Yuan
In a Business News Network interview on Mar. 18, Jim Rogers, famous investor and creator of the Rogers International Commodities Index (RICI) speaks about the recent currency and trade confrontation between the US and China:
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Saturday, March 20, 2010
Next Down Leg for the Euro / Currencies / Euro
There are two major issues facing global currencies in the months ahead. And both have escalated in the past week.
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Saturday, March 20, 2010
U.S. China Dispute Over Currency Manipulation and Bubbles / Currencies / China Currency Yuan
Discusses China / U.S. currency manipulation dispute, says China will eventually have to float its currency if it wants to become a serious global economic and financial player. Only expect a short-term rally in the Dollar, favor's Canadian Dollar for the long-run. Expects China economy to do well even if China housing bubble bursts.
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Friday, March 19, 2010
The U.S. Dollar Index Rally Move Isn't Done / Currencies / US Dollar
I will keep this brief as my rational for the new found strength in the Dollar Index is more observational than "scientific". Some things you just can't back test or measure in a methodical fashion or I just haven't figured out how to do it.
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