Greetings again, Everyone!

We arrive about 75 Minutes into The NYSE Open where the Dow and S&P Indices are varying from largely “Flat” to a bit of early Gains. Bernanke’s continued Testimony today will continue to play a large part in Equity sentiment today, as will the continued Roll-Outs during Earnings Season.

Our Thought on the MPC Minutes out of The Bank of England came to fruition as both Dynamic and Static Support Levels were hit, and Price Appreciation immediately cam back in to secure the same Levels once again.

Here are The Captures of both for a quick Reference, so give them a Click… and Post-Time is 14:45 GMT.

The Queen met and surpassed Lower static Support at the 1.6330’s where Price Appreciation on Prime Minister Brown’s and The BoE’s Rhetoric for a more “positive outlook” on The U.K. Economy provided the Impetus here. Our thoughts on the “decreasing likelihood” of additional Quantitative Easing gave he Pound a boost here… as even several hours later…we still “Anchor” at the 1.6380’s/1.6400 Supportive Areas.

As in our Pre-MPC Post last evening… The Pound Yen is literally taking The Queen’s lead here with a step of Depreciation to the lower 152.30’s Static Support back to the 153.20’s and finding “Safe Harbor” there for now.

In turning to The Euro… in my personal View the most “Directionless” Unit around… a “Catalyst” is surely needed to move Price out of Its Accumulating and Consolidating nature… ( of course, my thought here will be dependent on the Time-Cycles you prefer to work on…)

We still do have a “loose” Correlation of Sentiment with U.S. Equities and Gold and Oil… although the relatively “Flat” Hourly Descending Channel give us extensive Wicks of indecision to work with.

The Month-over-Month Housing Price Index comes in above Consensus, although the weak Year-over-Year Numbers largely negate this… so no real surprises there.

We now see one of my personal favorite Data Point Releases, as most of you know, The EIA Oil Inventory Builds… and those Numbers come in with Inventories slightly down while Gasoline and Distillate Builds are slightly higher than Consensus… and we see no real Market Reaction here concerning The Dollar.

All Eyes are now on Uncle Ben as we move along!…so more Updates to follow as usual!

I would like to point out something I have been aware of for quite a while through my good friend and FXstreet’s Chief Analyst, Valeria Bednarik, and her Work along with Alberto Munoz and Tatsuya Kawanishi of the FXstreet Content Team, on the new revamped FXstreet Tools Section and Area!

Having been around these woods here on FXstreet since early 2005… I have seen many deep improvements and changes come and go to the Content of the whole Site, and this is one of the most exciting!

To have these Tools revised and more effective in their Application will surely benefit all who use them!

Here is The Link so give them a Try!

http://www.fxstreet.com/forex-tools/

Greetings again, Everyone at The NYSE Close!

Sectors, The Indices, and overall Market “Sentiment” are all in positive Territory primarily on the back of continued Positive Earnings across many Sectors.

While we arrive at a 7-Day Positive Rally… I will bring up a Term all of you have heard me mention several times in the past few months.

“Bear Market Rally”.

Are we really seeing a semblance of overall Health here?… or are we simply seeing some Over-Extension and Over-Bought Conditions?

I would lean towards the Latter in my personal View. 

We certainly can see the S&P approaching the 960 Area, but in the “Case of The Correction”, as I like to say… the Extended Price Action truly may see a Immediate-Term Top there prime for a Reversal… hence a nice Daily Double-Top will then be in Formation.

This will obviously translate over to The Dow as well… despite the “Positive Earnings’ Sentiment.

Here is a quick View of The Daily S&P 500 to check on these Levels once again.

Post-Time is 20:50 GMT.

In looking at my “Real-Time” Currency Correlations, we can see some Disparity today with the poor Queen being the significant Driver of Depreciation… in Her Major and in The Crosses.

 While as of this exact moment, Price is beginning to stage Bullish Build from the previous “Re-Test” of the 1.6380’s Transitive Rollover Support… Price is still off about 90 Pips, and about 160 with the GBP/JPY Cross.

In contrast, EUR/GBP is holding on to its 40+ Pip Gain for the Day.

Here is the Hourly View of The Queen, so give it a Click for various Levels.

Price needs to Clip and regain the 1.6500 Handle here for the development of a “new” Transitive Rollover Area, and our IntraDay Trendline here will provide some Dynamic Support moving forward.

If we see Failure, and Price breaches the actual Lower Channel Daily Trendline here as well… then the 1.6200 Handle and beyond is certainly In View.

Now we move onto the Asian Sectors soon, where the Positive Sentiment will usually be picked up by the Nikkei and The Aussie Exchanges for our initial Indication of Continuation.

Please join me soon for tomorrow’s “Big Blog” Post as we also check in with how The Asian Sectors are progressing!

I hope to see you then!

Greetings once again, Everyone!

The IntraDay Market Corrections we have spoken of have surely come to Fruition, as The Dollar and The Yen strengthen on overall Market Sentiments.

The Dow and The S&P are largely “flat” coming into additional Bernanke Testimony, as we are, once again, dealing with Ranging and somewhat “Directionless’ Market activity moving forward.

We can see with The current EUR/USD Activity that even though we have plenty of IntraDay Volatility and Macro-Factors to use as Impetus for Movement… We really are still dealing with these “larger” Consolidations of Activity out on the larger Time-Cycles.

 Here is The Capture, so give it a Click for this Range we are speaking of, as price currently sits on the 1.4080’s Dynamic Support Areas. Continued Clearance here to the Downside may certainly see a “Re-Test” of the 1.3800 Handle of Mid-Term Support.

Give the Captures a Click, as always, and Post-Time is 17:15 GMT.

The Hourly View sees clear Delineation of the Price Appreciation, as we reverse with probable Profit-Taking and Equities Correlation weakness as we move forward.

A Clip of this Dynamic Support can certainly see the 1.4080’s “In Concert” with the overall Daily View.

As Bernanke continues on, we will monitor any additional Rhetoric moving forward and I will have an Update for you as we move towards the NYSE Close!

Please stop by for a visit then!

Greetings once again, Everyone!

As expected, The Bank of Canada held Rates at 0.25% in which the future Forecast to keep this Level through the middle of 2010 is a somewhat surprising consideration in terms of looking that “Far into The Future” for a Central Bank Entity.

We are quite accustomed in our present Climate to see Policy Views and Shifts simply going from Meeting to Meeting…although Canada’s emphasis on maintaining its 2% Target Inflation Rate is “In Line” with this type of rhetoric.

Our Thoughts on the concern of the Canadian Dollar strength were emphasized as expected,  as The Statement shed light on “The higher Canadian Dollar significantly moderating the pace of overall growth”.

Crude Oil certainly took advantage of this Momentum in its Correlation with The Loonie, while certainly having its own Appreciation lately due to positive Equities Correlations moving forward.

Let’s check in with both Units and observe the Price Appreciation, so give The Captures a Click for reference.

Post-Time is about 30 Minutes after The NYSE Open at 14:00 GMT… where The Dow is bidding up in positive territory a bit over 44 Points.

Here I have the new September Futures Crude Contract, which again, will vary slightly with the Continuous Contract on The NYMEX… where we see an IntraDay High so far of about $66.65 and a new “Transitive Rollover” Area right at the $66.00 Handle.

A deeper Correction… which is probable in my personal View…may simply take us back into the Consolidating Range of $64.20’s to the $66.00 Handle with the Conclusion of Bernanke’s Testimony here.

His emphasis will place Rhetoric on Macro-Economic Growth remaining in Contraction Mode which will give the Dollar and Yen a little boost of “Corrective Steam”, if you will.

The Strength of The Loonie here reaching the 1.0960’s but not being able to sustain the Level as Price moves back to the massive 1.1000 Handle… is precisely the Sentiment the BoC is after.

Corrections may also be due here with the Bernanke Testimony Rhetoric, as well as the Crude and even Gold Corrective Sentiment that looks to be on the way… although a Retracement of this “Wick” surely is possible through to the 1.0930’s Dynamic Support Areas as well.

As always on such an interesting Day, I will have more Updates for you as we move along!

The Curiosity of the potential Dollar and Yen Corrections against the backdrop of strong Equity Earnings will be a unique InterPlay to see concerning general Correlations between all of these Units!

Please join me soon!

Greetings again, Everyone at The Close!

The Dow and S&P 500 cross positive Territory with nice and consistent Gains on the back of Equities Appreciation, and talk of The CIT Bankruptcy not coming to fruition as Bond Holders “give up the ship” of 3 Billion in a Bailout.

The Dollar gets edged out by The Euro as we see about a 6-Week Low in the 1.4240’s, and on The Indices side, The S&P looks to 6 Sessions of Appreciation with the 956 Resistance-Area in View.

Here is The Capture, so give it a Click for reference… as our “Higher Equities/Lower Dollar and Yen Correlation” is Intact.

Post-Time is about 1 Hour after The NYSE Close at 21:00 GMT.

We now look to The Aussie since we checked in with Aussie Yen earlier in the Day… considering the Gold Correlation here is keeping both Units rather Well-Bid.

Here is The Hourly so give it a Click for all of my “Transitive Rollover” Areas that will take place and come to fruition in strongly-trending Climates. Price looks for a bit of Consolidation now, and any Clip of the .8190’s/.8200 Handle will provides even one more Transitive Rollover to add to our View here!

The Minutes due out of the MPC should offer no real “surprises” in Sentiment and text… as The RBA is, in my personal View, one of the most “effective” and fiscally-responsible Central Banks out there.

Speaking of The Commodity Currencies, I will have The Canadian Dollar for tomorrow’s “Big Blog” Post, since we have The BoC Rate Decision at 13:00 GMT… so I look forward to seeing you then… as well as later this evening at 6:30 GMT for the “Currency Majors Technical Perspective” Report to get our Tuesday on it’s Way!

Greetings again, Everyone!

We are seeing The Dollar and Yen continue to Correct across most Currency Units, as well as Gold and Oil, despite continued Macro-Uncertainties about Global Economic Recovery.

Many Units are still finding “Basing” and Consolidating Behavior with Technical Formations such as Flags/Pennants and Horizontal Ranges, although within these Areas clear IntraDay Directionality is being Seen.

Similar to The Euro, Crude Oil is seeing a burst of Bullish Momentum, despite Price simply arriving to clear Static Resistance Levels within a larger Range. The Confluence of the July 2008 Weekly 23.6% Fib Variant and $60.50 Resistance is holding Price to the Upside, and if the Area is Breached, a new “Transitive Rollover” of Resistance-becoming-Support will be in Place, although any true Bullish Momentum in Crude will be considered in a :Counter-Trend” Fashion…even if Price moves beyond the $61.35 Range/Resistance Zone.

Here is The Hourly, so give it a Click for Various Levels.

Post-Time is 7:40 GMT.

The EUR/JPY is indicative of slight Risk Appetite returning to The markets, as we have our Equities Correlations back Intact… not to mention “Cross-Current” Correlations with Global Equity Exchanges such as The FTSE… which is up about 3% at The London Open.

Price looks towards the 130.60’s/80’s Static and Dynamic Resistance Levels, as Price Appreciation pulls out of the 127.80’s to 129.00 Hourly Range. Further Appreciation sees the 131.40’s in the Near-Term, while Failure to Hold the 129.00 Handle of Static Support will see the 127.80’s for multiple Hourly Tests of the Area.

If this Behavior is Seen, the Tests will weaken Support and a potential Breach towards the 127.00 Handle in the Mid-Term would be plausible.

The  “Currency Majors Technical Perspective” Report  has been published for Immediate-Term Details on The Majors, as well as the new Installments of The Fundamental Forex Foundations Section for Data Point Releases today and tomorrow of PPI and CPI.

The Retail Sales and Business Inventories Reports will be published as soon as possible, and I will have those Links for you as soon as possible!

Please join me for more Updates moving forward, especially as we move towards Data Point Releases at 12:30 GMT.

In the Interim, keep a Mindful Eye on CPI out of the U.K. in about one hour’s time!

Greetings again, Everyone!

We look to an IntraDay “Reversal” Day of Sentiment, as all of “The Basing” around the Units gives strong Momentum and Appreciation with slight Risk Appetite for the Day.

Crude Oil still languishes a bit, although Price did manage to pull out of the $58.00/50’s Consolidation Area… although we are under the $60.00 Handle again. 

Gold pulls a Break out of the Accumulation Range between $907.80’s Static Support and $914.00 Dynamic Resistance, with an $8.00 Appreciation as of Post-Time.

The Pound Yen pulls a clear “V” Reversal on The Hourly, as the entire 150.60’s Downleg is literally negated, as Price works through Dynamic Support Confluence at the 150.00 Handle with the July ‘08 50% Weekly Fib Variant.

Here is The Hourly View, so give it a Click for Levels, as we retain our Bear Flag Example for Reference.

Post-Time is 18:45 GMT.

We can say that our Hourly Bear Flag is still Valid and Intact, as Price breaks The Apex to the Downside… and simply Consolidates without reaching the Highs of The Apex at the 151.30’s Dynamic Resistance Levels.

This keeps Bias clearly to The Downside, with Bearish Views simply looking to sell into this Rally from the IntraDay View.

Stronger Bearish Views will look to maintain Patience here as we work through The Consolidation, and any Break of the 146.70’s will entice Selling Sentiment.

The Dow Correlation with the weaker Yen and Dollar is currently In Place, as The Dow is well-bid about 148 Points in Positive Territory.

Watch the Macro-Correlation moving into The Close, and I will be back with you then for another Update, as always!

Please join me then!

Greetings once again, Everyone and Welcome To Wednesday!

Let’s continue our numerous references and discussions to our Two “Risk-Aversion Partners-In-Crime”, The Yen and The Dollar.

Similar to my enjoyment and use of Market Correlations… we always must be aware of the “Caveat Emptor” that drives these Two as well: The Correlation Activity moves In and Out of Each Other with Consistency.

In the same fashion that we are mindful of, say, The Dow and S&P Correlations to The Yen Crosses… we are always Mindful of the fact that ALL  of these Units must first “Stand Alone” with their own characteristics… as their Correlating Activity ebbs and flows.

Let’s check in with The Yen as a Whole… and first up is my Friend and Colleague here on FXstreet, Valeria’s Favorite Unit, The Dollar Yen!

( P.S. - Do not tell Her this…  She will leave Buenos Aires and track me down in Phoenix… Body Parts will be strewn all over The Desert Southwest… as I am consumed by the 4000-Degree Heat! … hee hee…     ;-)

With all of my sarcasm aside, The Yen is surely ruling the Day over The Dollar in today’s Work in terms of coming off of our Asian-Pacific Sector Thoughts on The Asian Bourses picking up yesterday’s Bearish Sentiments.

For a bit of Perspective, let’s check in on The Monthly View of USD/JPY, where seeing The High- 80’s Area of last December and January is certainly plausible… ( although this is unlikely without a significant prior correction being a Monthly View).

Give The Captures a Click for Various Levels of Reference and Commentary, with Post-Time being 6:45 GMT.

The Daily gives us more Clarity to work with, as Price remains in a Wide Downtrend Channel here with Dynamic Trendlines on both sides. Price continues to Breach significant Daily Static Support Levels,  and the Static 93.50 Support Area is certainly In View.

The Hourly shows the Breach of the 78.6% Fib Variant of the Full January 1995 79.76 Low to the 147.76 Highs as a Confluence Area.

Surely a very Long-Term Fib View here… although it does remain Valid in Illustrating the Deep Yen Strength we have seen since April of this Year.

My 6:30GMT  “Currency Majors Technical Perspective” Report  shows this exact Immediate-Term Bearish Sentiment with our “Four Major Siblings” as well that we are all very familiar with lately!

Of course, we will see what “Interesting Rhetoric” emerges from The G-8 today as we move through our Updates today… with the possibility of seeing some Accumulation leading to Consolidation at least in The Immediate-Term across The Markets.

If The Yen is any Bellwether of Indication though… The Idea looks to be off in the Distance a ways, doesn’t it!

Greetings, Everyone and Welcome to Tuesday!

We have seen what is in my personal View… a Classic Battle for the Supremacy of Indecision!

While The Dollar and Yen worked through Risk Aversion to open the New Week… the Climate quickly turned with The Euro, The Queen, and even The Pacifics ( ahead of The RBA Decision…which in my View will Hold, as will The BoE… ) gaining a portion of those gains back as The Dow and S&P 500 attempted at least some Covering to Close the Day.

Gold and Crude are still holding their Depreciation Status… so some “slight De-Coupling” of The IntraDay Perspective is a bit evident here.

“CVJ!… You are Speaking-in- Tongues again!… Are we Bullish?… Bearish?… Gold?…Crude?… Make up your Mind, Man! We have had it with your Mercurial Ways!… our long-lost Friends, The CVJ Fan Club Guys say.

( Hee hee hee… and all of you Dear Readers thought these Geniuses were on permanent Vacation!… well…. we have to have a laugh now and then, right??? )

In all seriousness here… the Indecisive nature of The Markets as a whole are indicative of the Carry-Over from the U.S. Holiday, the expectations of The G-8 and the surprising “Pro-Active” Nature of China… as well as the rest of The Asian-Pacific Sectors ( i.e. Taiwan).

Will China come through with the “Jawboning Feel” of “The Super-Sovereign” Currency to replace The Dollar Reserve?

If you ask me… the continual “flip-flopping” there reminds me of those other historical Jawboning Masters… The Bank of Japan!  

Let’s roll out The Aussie again ahead of The RBA’s Rate Decision, and we will check in as well for the 7-8GMT Blog Update as well.

Here is The Daily and Hourly View with Commentary above, so give The Capture a Click for Levels…. and Post-Time is 23:00 GMT.

The Aussie looks to strengthen on the wide-Consensus that The RBA will Hold yet again with their “Wait and See” Policy.

Even so, we still see the Range that we looked at last week, so perhaps this will be The “Catalyst” to snap through above the .8000 Handle in the Immediate-Term.

Our Longer-Term Uptrend Line here on The Hourly will certainly come into Play for more Clarification as well.

As always, I will be with you around 6:30 GMT for the early “Currency Majors Technical Perspective” Report and a Blog Update to follow, so please feel free to join me then!

Greetings, Everyone and Welcome to Monday!

We have a somewhat-”rushed” Week with the U.S. 4th of July Independence Day on Saturday, which brings ADP, NFP, Jobless Claims and such a day earlier than usual as U.S. Markets will be closed for The Holiday.

The ECB holds the Majority of Focus this Week outside of the U.S. Data, where Inflationary Concerns still “haunt” The ECB, and their “Independent Stance” in general in relation to other Global Central Banks.

Dollar Strength sees some Daylight to begin the Week, as Crude Oil and Gold open lower.

Let’s check in with The EUR/USD, so here is the Hourly with Commentary above.

Give it a Click for Levels of Reference, and Post-Time is 2:10 GMT.

The Fiber sees Consolidation on the Hourly View ( nothing new here… since I have written and you have read this Word 4 million times in the past few weeks… hee hee… ).

Price simply cannot maintain and Hold above the 1.4100 Handle, as a fall into Accumulation @ the 1.4050’s  leads us into the “Confluence” Area of the 1.400 Handle with Dynamic Magenta 1.3980’s/1.400’s Support Area.

The 1.3880’s “Box” sees the next area of Support, where Bullish Sentiment is largely lost In Favor of Bearish Sentiment with a Clean Break.

It is early in The Asian-Pacific Sectors, and early in the Week… so we check back in with plenty of Updates for you!

In the Interim, please join me at the 6:30 GMT Hour for our European Session Installment of the “Currency Majors Technical Perspective” Report, and see how we have progressed so far!

See Everyone Soon!