Unemployment Claims will lead the way
Looking at the upcoming session for Thursday, Unemployment Claims will be the most important announcement as it gives us an insight to the employment situation in the United States, the leading economy as far as any type of recuperation would be concerned. Ultimately, we feel that the market will have more or less a technical aspect to it as opposed to reactive to news.
DAX falls drastically
The DAX fell drastically during the course of the session on Wednesday, but we believe that there is a significant amount of support near the €10,600 level. Because of this, we are looking for some type of supportive candle in order to start going long via calls. Ultimately, we believe that the market will continue to consolidate overall, so at this point in time we are not willing to buy puts quite yet.
Euro struggles to hang onto gains
The EUR/USD pair tried to rally during the course of the session on Wednesday, but gave back all of the gains. By doing so, the market ended up forming a shooting star. That of course shows significant weakness, but we also recognize that the 1.10 level below should be supportive. Ultimately, we are looking to see whether or not this market can break down below the 1.10 level significantly, and if it does we would be buyers of puts.
USD/CAD initially falls, then rallies
The USD/CAD pair initially fell during the course of the session on Wednesday, but found support just above the 1.30 level. Because of this, we ended up bouncing significantly, and testing the 1.31 level later in the day. We believe that pullbacks will continue to offer call buying opportunities in this marketplace going forward, and have no interest whatsoever in buying puts at this point in time.
Comments
Log in or sign up to join the conversation.