Spread Trading 3 Mar 10
|
|
 |
The regular Financial Markets Update from Simon Denham of Financial Spreads.
For today's update >> Financial Markets.
Spread Trading 3 Mar 2010
It looks like were set for a little bit of profit taking today after four days of gains on the trot.
The FTSE 100 in particular has been very strong and is just below the highs it set in January. Unsurprisingly clients have sold at these levels expecting a retreat from resistance levels seen around 5500.
Politics are grabbing the headlines as the build up to the election gets underway with the announcement of a three way debate.
The pomp and show of such debates will only serve to provide more media frenzies. Those floating voters who bother to turn on their televisions to watch the three leaders go head to head will most likely get more confused by being more exposed to a “third” option.
It’s difficult to see how anyone but the Liberal Democrats will benefit from such debates and it’s no surprise to see the inane grin on David Cameron’s little brother’s face.
There’s plenty of economic data to get our teeth into today with German retail sales already having disappointed, then their PMI services numbers are later this morning.
At lunch we have the preview to Friday’s NFP in the form of the ADP employment figure which is due to post a tiny decline. Later on is the Fed’s Beige book.
Back to the markets and currencies continue to grab the headlines, but for now the rot seems to have stopped for Cable and the Euro.
EUR/USD formed an impressive “hammer” candlestick on the hourly chart yesterday morning and recovered nicely from then onwards.
It was yet another indication that bears might be running out of steam for now with good support around and just below the $1.3500 level.
The real test will once again be if such a bounce can be sustained as in the past month rebounds in EUR/USD have been swiftly slapped down by Euro bears.
On the daily chart there certainly seems to be a few hammer formations forming as well, so this could be the level that really does find support and see a bear squeeze.
Certainly the news flow is a little more PIG friendly and investors are anticipating a firm fist from the Greek authorities in addressing their fiscal problems.
Clients have been expecting a bounce for some time now opposing the move most of the way down and more long positions have been taken out.
Whilst the Euro seems to have found a floor for now, that’s more than can be said for poor old Sterling who is completely out of favour. As long as the polls indicate a hung parliament then Cable will remain under pressure.
Gold took on the resistance around $1125.0 and smashed through it convincingly. The tumultuous moves from currency markets have benefited gold in recent days as investors are attracted by its “safe haven” attribute.
The Dollar has made substantial ground against Sterling and the Euro and this should translate to gold weakness. However, investors have been happy to stick some cash into gold in the belief that it’s safer than have it denominated in any other currency than Dollars.
The days ahead could prove a real test for gold as there are some important meetings for Greece with Angela Merkel on Friday. Yesterday’s move was quite a bullish one and the next key resistance sits at $1140 and then $1163.
Crude oil is having another go at $80 and struggling once again to break through and test the January high of just below $84.
Continued strength in equity markets might assist oil and push the market to test January’s high, but before then bulls will have $80.75 and then $81.50 to content with.
Oil inventories this afternoon will doubtless provide the usual volatility.
The above comments do not constitute investment advice and neither Financial Spreads nor Clean Financial accept any responsibility for any use that may be made of them.
Financial Spreads >>
"With FinancialSpreads.com you get all the normal
advantages of Spread Betting plus..." >> read
Financial Spreads review.
|
Risk Warning: Spread betting carries a high level of risk to your capital. You may lose more than your initial investment. It may not be suitable for all investors. Only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved and seek independent financial advice where necessary.
Article provided / approved by Financial Spreads which is a trading name of London Capital Group Ltd which is authorised and regulated by the Financial Services Authority (FSA), FSA Register number 182110.
'Spread Trading 3 Mar 10' edited by SD, updated 03-Mar-10
Related Articles:
Financial Markets, updated 07-Feb-12
Financial Markets - your daily update on the markets with views and opinions from the insiders, plus a look at...read article: Financial Markets.
Online Spread Trading, updated 31-Jan-12
A look at the latest spread betting markets plus company reviews, compare prices and details on where to free charts and free live prices....read article: Online Spread Trading.
FTSE Spread Betting Market Breaks Higher on Positive EU Debt Auctions, updated 20-Jan-12
Yesterday saw a few rays of sunshine for the Eurozone as Spain and Portugal managed to not only find buyers for their debt but also keep the interest rates low. This helped the FTSE spread betting market break...read article: FTSE Spread Betting Market Breaks Higher on Positive EU Debt Auctions.
Gold Rises on Commodity Spread Betting Markets Amid US Dollar Weakness, updated 19-Jan-12
Thanks to a weaker US dollar, gold enjoyed a third day of gains yesterday as investors viewed the dollar denominated commodity spread betting market as a bargain. Some may...read article: Gold Rises on Commodity Spread Betting Markets Amid US Dollar Weakness.
FTSE Spread Trading Market Lags Behind Strong European Indices, updated 18-Jan-12
With the German DAX and French CAC leading the way it could only be a matter of time before the FTSE gets through the near term resistance barrier and tests the highs from...read article: FTSE Spread Trading Market Lags Behind Strong European Indices.
Spread Betting Account Holders Sell FTSE 100 Despite Chinese Data, updated 17-Jan-12
Our spread betting account holders remain sceptical of the positive Chinese GDP result, presumably with the belief that the Eurozone woes will rule. Selling into the recent strength has...read article: Spread Betting Account Holders Sell FTSE 100 Despite Chinese Data.
Indices Spread Betting Markets Fall on S&P EU Downgrades, updated 16-Jan-12
The indices spread betting markets suffered decent losses on Friday as the rumours of S&P's downgrades spread, but not quite as much as you might expect since investors knew...read article: Indices Spread Betting Markets Fall on S&P EU Downgrades.
First Page << 1 2 3 4 5 6 7 8 9 10 11 12 >> Last Page
Daily Spread Trading Index
Index of spread trading articles - the regular Spread Trading Update from Financial Spreads...see Index.
|
|
Q) Average Trading Results?
A) Get free spread betting tips, offers, price updates, important news and more!
|
|
