Tuesday Market Review: Overnight the Dow Jones and S&P index brokeout to a new high point, rose 0.52% and 0.51% respectively, while the Nasdaq index fell 0.02%. In commodities, the overall performance was strong yesterday, crude oil rose increasingly, gold stood firmly around $1660, easing the short-term downtrend. In currencies, non-US currencies were overall up, while the yen is still weak and the euro had a new breakthrough.
Posted By:
Chen Jingquan
Chen is a popular Forex Analyst in China. He setup his own financial consulting firm back in 2005 and started writing financial reports and analytical papers for various Chinese financial websites in 2007. He became a famous forex analyst in 2008 and a frequent guest in various forex seminars and interviews, including exclusive interviews held by CCTV finance channel, Hexun.com, Sina Finance, Sohui Finance and EastMoney.com
What’s up with the pound sterling?
The pound sterling’s support has deteriorated as it has become a (very) unloved currency. There’s so much negativity on the pair right now any long position against anything but the yen is difficult to want to hold.
The trend on the British pound has organized into a “four to six o’clock” 34EMA Wave angle. Technically, the consistent red GRaB candles and the move lower through the 200DMA just adds more negativity to the bearish fundamentals that just keep piling up.
Raghee Horner