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The Risk Today

August 8th, 2009

&lt;p&gt;&lt;span&gt;&lt;span&gt;EurUsd&lt;/span&gt;&lt;/span&gt;&lt;span&gt;&lt;span&gt; USD bearish sentiment is near historic extremes. Although the euro is holding above its previous closeness &lt;span&gt; &lt;/span&gt;area, later this month, we expect topping signs against the Dec peak 1.4720.&lt;/p&gt;<br>&lt;p&gt;&lt;span&gt;GbpUsd&lt;/span&gt; The topping risks are increasing. A move below 1.6580 this level would likely trigger a deeper pullback.&lt;/p&gt;<br>&lt;p&gt;&lt;span&gt;UsdJpy&lt;/span&gt; range is well defined between 94.30/95.90 and a recovery above 96.40 is needed to change this ranging outlook and for USD/JPY to squeeze higher still.&lt;/p&gt;<br>&lt;p&gt;&lt;span&gt;UsdChf&lt;/span&gt; USDCHF remains neutral in the short term, though if the USD downtrend is to continue into next week, we prefer to see a close below 1.0590&lt;/span&gt;&lt;/span&gt;&lt;/p&gt;

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