It is Tuesday and i hope everyone is doing fine.
Yesterday we noted better than expected housing economic data from the US. Having said so, it was cautioned that foreclosures and dropping prices still plague the housing market.
China expressed support for a stable euro and even mentioned about it's willingness to purchase more Greek bonds when possible.
Looking at the EUR/USD chart above, the strong line of 1.38 is broken for now. Do note that support and resistance lines are never a single pip and hence do not hastily take this as the ticket for the bullet train north!
The S&P 500 is above 1150 for now and suggests positive sentiments.
Oil is still above $80 and gold climbs higher to $1330+.
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The US ISM Non-Manufacturing PMI came out better than expected. This probably brought some relieve to the risk averse investors. Furthermore, with China's words of support for the euro, investors are probably increasing their risk appetite and withdrawing from typical risk aversion instruments like the US Dollar for higher yielding instruments such as equities.
Having said so, we have many major economic events this week such as the Euro Minimum Bid Rate and Margin Call US Non-Farm Payroll and the markets usually do not move too wide when such events are around unless of course adverse developments occur.
Get a feel of the market pulse and use the equities and commodities as clue.
Trade Safely.
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I am getting fatter and fatter! Being a weak koala, having extra kilos will probably make things worst. I heard that a lack of sleep will make one fat and a lack of sleep is something i have aplenty!
Oh dear . . .
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