EURO and GBP were taken to bottom level in the name of risk aversion because of more adverse GBP data.

Then in a matter of 30 min they spiked up  to hit the stops of the short sellers and all the way down move they made to hit the stops of the breakout traders on the downside.

They are expected to again rise towards close of the session.they showed their month end volatile moves to handle all the derivative products.

next month beginning they are expected to rise with spikes and upward gap openings.

trade with care

Regards

dr.Sivaraman

the players made the quick drop during start of European session for the long holders to liquidate the buy positions with fear.They are expected to rise from 10:00 GMT,first a recovery move followed by short covering rise.Month end moves are like that.

Hence hedging trading is recommended to keep hedging order instead of stop and keep stop at entry in the sell position which is taken against the buy position.trail down till the hedging is closed with profit.Then keep another hedging order 30 pips below market and trail up as they rise the market till you are able to keep stop at entry in the buy position.

Once they stop cutting the new low for more than 30 min the rise will be seen till week end.

Regards

Dr.Sivaraman

EURO and GBP made narrow range consolidation yesterday without much anticipated rise.When traders were only taking long positions after avoiding shorting the players made middle level stop hunts mostly during US session inducing the traders to cut the long positions and give to them.They nmade the lower level stop hunt for the last day of the month during Japanese session start.they are expected to go near low again during close of Japanese session and gap time and then firm up during European session.More rise to go above yesterday high could happen during this session.then during US session subuded swing to start with and slow firming up moves expected towards close for week end.The players were handling mainly the crosses,gold and USD/YEN .they could act on majors today as month end move.In that process USD is expected to gain against GOLD and YEN and lose against EURO and GBP.

Regards

Dr.Sivaraman

EURO and GBP made the massive downward stop hunts and then firmed up towards close of US session and made futher rise quickly during gap time before day change and during early Japanese session.They are expected to briefly swing near today’s low ( low set in live market quote page ‘    http://www.i-knowindices.com/saxo_bank.htm   ‘) and then rise during European session.USD/YEN is expected to rise before the rise of EURO and GBP as contrarian move.Towards close of European session there will be a quick drop and then rise from start of US session is expected.More rise and less drop moves will be seen till week end and month end.next month before the NFP data release EURO and GBP are expected to rise.

Regards

Dr.Sivaraman

GBp has made a massive 500 pips correction from european session high of 1.46 area.Euro also corrected relatively.But the players rised 250 pips from yesterday close to reach 1.46 area and then dropped 250 pips from yesterday close level ( net change ) .This way they showed their risk appetite and risk aversion moves before the month end move they are expected make from now.

We know every time near low they discourage buyers with frequent downward stop hunts and near high they make frequent upward stop hunt discouraging the sellers.watch the market and try to take positions during such stop hunt times to avoid major exposure.

Regards

Dr.Sivaraman

EURO and GBP made the drop during European session and early US session as expected.

They are expected to rise from now till close of the US session and open with an upward gap tomorrow and rise more, above todays high in EURO and GBP.After risk aversion move the follow will be risk appetire move.

Regards

Dr.Sivaraman

yesterday, EURO and GBP firmed up along with USD/YEN towards close of US session as expected .

They firmed up during Japanese session to quickly drop towards close of the session and gap time and also during early European session.Then firm up from mid European session to drop again during early US session and then make quick rise for the day.Higher highs will be seen in them during the day.

quick drops are buy opportunities when the low is not cut for more than 30 min.

Regards

Dr.Sivaraman

the players are now buying USD/YEN and YEN crosses by holding in a narrow range EURO and GBP.They finished their holding high strategy in EURO/GBP  and Gold.Now working on the YEN and YEn crosses.They intend to rise EURO and GBP towards close and tomorrow holding high USD/YEN.

Alternare rise of USD/YEN with EURO and GBP and also simultaneous rise of all the 3 pairs as contrarian moves are going to be the next type of moves they intend to make.In that process USD will gain against YEN and lose against EURO and GBP in coming days.

This info I have given in my webinar presented on 29th jan - ‘Forex market forecast for the year 2009′.I am just recalling the same to confirm that the players are moving the market as expected.

Avoid shorting of YEN or YEN crosses.

Regards

Dr.Sivaraman

The players make downward stop hunts and buy against their sell positions of Friday and early Monday trades  now and then turn long to rise again towards close of US session and tomorrow to book profit in their buy positions.

They are expected to make big rise towards close of this month and next month. The market is expected to show new highs in EURO and GBP for the season in coming days.

Regards

Dr.Sivaraman

EURO and GBP corrected as expected for week beginning .They are expected to make lower level consolidation with brief downward stop hunts for 20-40 pips and then firm up to rise again nicely towards close of US session and tomorrow.Lower level stop hunts are time to take buy positions in EURO and GBP to book profit tomorrow during expected rise.Players are also buying today to rise and book profit tomorrow after rise.

Regards

Dr.Sivaraman