Send us Feedback

Main Page

 
 
Data Central : Southwest Airlines Data Central : Southwest Airlines Data Central : Southwest Airlines Data Central : Southwest Airlines Data Central : Southwest Airlines

THE DAILY ANGLE

« November 20, 2009 »

Today’s Daily Angle comes from Wikinvest Wire member Kathy Lien of KathyLien.com and FX360.com. You can read the full article on her blog.

Bernanke’s support for the U.S. dollar and Federal Reserve President Lacker’s comment this week that the central bank is paying close attention to the value of the greenback has driven the buck higher against all major currencies. The last time Bernanke surprised the market with a comment on currencies was back in June. According to the following chart, the EUR/USD fell 4 percent in the 2 weeks following Bernanke’s comment. However after a month of consolidation, the uptrend resumed. I am a long term USD bear (see my artice Why The Dollar Could Fall Another 5-7 Percent) but as a trader first and analyst second, I know that uptrends do move in straight lines. Shaking out the shorts are needed to get some fresh blood into the markets. Interestingly enough, a 4 percent drop in the EUR/USD would take the currency to 1.44, the former breakout zone. I think any drop will be limited to 1.4650-1.47.

Technical chart of the EUR/USD with Bernanke's comments highlighted
Technical chart of the EUR/USD with Bernanke's comments highlighted

Take a look at the chart and make your own judgement.

Be a Contributor!

Wikinvest has more than 250,000 contributions so far, both big and small—and all valuable. Go ahead and fix a typo, annotate a WikiChart, define a term, or initiate coverage on a company or concept. By the way, each edit you make counts towards building your reputation on Wikinvest.
 
Wikinvest © 2006, 2007, 2008, 2009. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki