Market Update - Nov 13th '09

Confusion area, didn't i say... A spike up early in the day followed by the same pace of selling like if nothing happened. Prices reached a Fib level where they could pause for a short while, or aim a little lower later on to stall (1082) or even to strong Fib/MM support around 1078. More economic news to be expected today, and maybe a "Friday 13th" effect, who knows... :) Still no change however on the daily and weekly charts, so it is too early to say that this is the retracement we've been waiting for...
TF coincidently is also on a Fib/MM support level and is in bounce territory. However the profit taking is market more clearly and the buying pressure should be faster exhausted here. We're not yet in a clear down trend even if the market will try current support.

EURUSD broke on the down side and could still go lower after a pause (early MTFS crossover). The daily chart shows buying pressure fading, and the current channel can only be sustained if we have a series of higher highs, which looks unlikely now. Again risk-adverse longer term players should not rush into selling, but trading a 30mins chart or lower is certainly a lot more fun.

( posted 4:30 AM UK )