Greetings Everyone for another Update!

Our Paradigm Shift arrives on an IntraDay basis with Risk Aversion entering back into the Markets, and is being used as a “Catalyst” for Price Behavior with a stronger Dollar and Yen moving forward.

We willl use the Euro and Pound Yen to illustrate this Movement quite nicely, so here are the Captures.

Give them a Click for Commentary, and Post-Time is 10:50 GMT.

We will meet again in just a little bit after the U.S. Equities Open on the NYSE… to get an idea of where the Equities Correlations with Dollar and Yen meet up for our Trading Day!

Greetings again to All!

We have an “IntraDay Shift” in Sentiment wth our two “Inversely Correlating Friends”, the Euro and the Swissy.

Our recent conversations about Event and Rhetoric Risk have entered the Market as a “Catalyst” with U.S. Equities taking off in Appreciation, especially the Financial Sector,  on the back of  Wells Fargo Shares rallying to a 22% Peg with an expected Earnings Report of $3 Billion for the First Quarter of 2009.

As is the case in our current Climate… any… and I literally mean ANY… “Positive” Rhetoric and Data will gain the attention of Traders worldwide.

So this gives us in the Foreign Exchange World our Correlation with Stronger Equities leading to a Stronger Dollar and Yen…. which is NOT our “USUAL” Correlation that is largely Inverse!

Certainly a fine Example of Correlations always living and breathing and winding in and out of each other!

Here are the Hourly Views once again, so give the Captures a Click for Commentary.

Post-Time is 15:40 GMT.

I will be with you again in a different Fashion later today… with a “Fundamental Summary” at 22:00 GMT, as well as an earlier “Currency Majors Technical Perspectives” Report at 1:00 GMT, both to be found on the Technicals Section of FXstreet.

Our FXstreet ”FX Advisor”, Val Bednarik, is away for the Easter Holiday and I appreciate the opportunity to provide these additional Resources for you!

Happy Tuesday !

We have a slight hint of Risk Appetite returning to the Market “climate” overall…but is it “real”?…or simply a wash of New Year beginnings, fresh starts, and resolutions?…

The EuroZone is in no position to deeply enjoy the appreciative Value of it’s Currency the last several Sessions.

Fundamentally, we already have “whispers” of Rate Cuts not being an issue if Inflation continues to falter.

Appreciation in the Yen Crosses, as well as a generally “consolidative” Inside Day yesterday in the Dow may lean towards “warm and fuzzy” feelings of a fresh start to the New Year…but we will have to see after this week concludes.

We still have Institutional Volume and activity coming back to the global financial world, and with NFP on Friday…this week is a bit “skewed” in my personal view.

So…let’s check back with the Euro and see how we’ve progressed in the last 24 hours or so…

(Post-writing time tonight is 3:15 GMT).

(click once for captures)

We certainly have our “Basing” at 1.3220 in sight…despite the slight Pennant formation on our Hourly view…..take a look.

This is a “classic” Bear Flag pattern here…and even more so when we have a “Pennant”, as we have here.

The Pennant itself is also “behaving” as sort of an “Ascending Flat Top Triangle” right on the 50% Fib…so its’ probability of holding is rather concrete.

If we do breach the area significantly, then our next logical stop on the Ski Lift would be around the 1.3750 area.

Of course…nothing is certain and all of you know that Prediction is not my preferred behavior of choice!  

Remember…as in all areas of your Trading…and your Life for that matter…

What matters most?

What If ?….or What Is.