Is The Trend Still Your Friend

On first inspection the big policy and news events of last week, including the Jackson Hole Symposium that finished on Saturday, did little to alter the overall market direction, despite a slight recovery to the upside taking place during Friday’s sessions. The main market many investors use as a barometer for sentiment, the DJIA, closed […]

Last week’s fundamental policy decisions and high impact news events, were mainly dominated by: the service and manufacturing PMIs published by Markit economics, press conferences by governors of many of the leading central banks, trade balances for countries such as Japan, China and the USA and a flurry of diffusion sentiment indices.   The week’s

If last week’s high impact news events centered around the publication of the Markit Economics PMIs for services, then this week’s fundamental high impact news is heavily geared towards the publication of Markit’s manufacturing PMIs due on Thursday. Market analysts and commentators will be looking for any evidence (from those businesses polled) that the bedrock

Forex markets currently appear to be driven by three main phenomena; .Continual market talk of Fed tapering and the timing thereof. .The sales of foreign assets by Japanese investors. .The liquidity squeeze of China and the slowing of the world’s second largest  economy. The market consensus, after Ben Bernanke gave his two days of testimony

The week beginning July 1st ended as it began in the FX market, with virtually all the medium to longer term forex trends on the major currency pairs remaining unbroken. The euro continued its downward trend versus all of its major peers whilst the greenback continued its upward trajectory. The euro’s slump continued post the

As we enter a new financial quarter we’re confronted with a raft of fundamental news and policy decisions in the first week of the month that could alter the current trend or deepen the existing trends… Early in the Asian session we’ll have the China manufacturing survey print which is based on a survey of

As always, when we experience a seismic shift in sentiment in the FX market, it always looks so obvious in hindsight. Before we begin to concentrate on what may, or may not be new trends that have developed on our major currency pairs and commodity pairs since the fall out of the FOMC meeting of