Welcome to Tuesday, Everyone… and Happy St. Patrick’s Day!

With Risk Appetite firmly in place… we continue to see the Dollar and the Yen sell off across the Currency markets of late.

While it appears as if some “normalcy” may be returning to the Markets… in my personal view… it is simply still an aspect of my Bear Market Rally Sentiment from last week.

Some justifications that actually appear in favor of our current Climate  include the macro-concerns from China and their Inflows into U.S. Treasuries… not to mention their own Stimulus efforts… the Plan from the U.S. administration and the Toxic Assets Plan… and finally the FOMC Meeting on Wednesday.

 While I do agree the “Sentiment” is in the right place… it is simply too early and deeply premature to see any real evidence… Fundamentally or even Technically… to see any real massive Shift in Paradigm.

Remember… Just because we talk about it… does not mean it is happening.

Do you recall our ”Jawboning” thoughts yesterday?…. We have some of the same Principles in Play here…

Solutions can arrive from every aspect of our Global Climate here… but we really need Action to take place and “digest” for a while… we need to see these Concepts in Action for a little bit of time to even see if any of this “Rhetoric” is valid.

I wish to stay with the Euro here…as we head into the FOMC and tomorrow with the March ZEW Data Points out of Germany. This Figure has been interesting lately… as it has consistently “improved” little by little over the past few months…. but only in terms of EXPECTATION.

This is a unique Signifier… is Confidence beginning to slightly improve?… hence having impact on the Euro?

Here are the Daily and Hourly Views of EUR/USD, so give them a Click.

No Commentary on the Captures for now… as they really are rather Self-Explanatory with the Fibonacci Areas and various Levels in Play that remain valid.

Post-Time is 3:15 GMT.

We will drill down during the European Session Update, as always, and highlight some of the specifics as they come our way!