Ok guys, so the big news this week has been the possibilty that we are and may currently be seeing sign of a recovery, albeit a very slow and fragile recovery. I personally think that it is to early to tell. Investors, traders and the guy on the street are all looking for enough positive news to make them feel ok about dipping their toe’s back in the water. Is this a bear market rally in equities or is it something more substantial. The same goes for the U.S. dollar. The economic data out this week was markedly positive. With the second straight improvement for consumer confidence, rising from 57.3 to 61.9. Combine that with the very bearish eurozone sentiment, and the outlook the dollar is shaping up to be very positive verses the euro.
The coming week one of the announcments to look out for will be the Durable goods orders. It is forcasted to to have fallen, which may dampen the mood a little. If you don not have the domestic demand, can you really have a recovery with legs. I really don’t think so.
Even though we are mainlt technical traders here at FXPOWERTRADING.COM. We still keep a very keen eye on the fundamentals.
PowerTrader
