EURUSD WEEKLY CHART – Another Sticky Zone
Similar to GBPUSD, to keep it simple, 1,00-at risk if below 1.02
Why I call 1.00-1.02 a sticky zone is the importance of 1.00 as a MEGA MAJOR psychological level as it is parity. Beyond that is a back hole on a monthly chart to .9500.
At a minimum, 1.0200-50+ would be needed to slow what feels like an inevitable run at parity.
GBPUSD WEEKLY CHART – Sticky Zone
To keep it simple, 1,20 at risk while below 1,22
Why I call 1.20-1.22 a sticky zone isa the importance of 1.20 as a MAJOR psychological level and then a void to 1.18…1 ,2034 is the weekly chart support but pivotal big figures, such as 1.20 is clearly more important.
Looking at a 4 hour chart, any bounce not that fails to reach 1.2321 (bot the risk at the moment) should be treated as a retracement.
If you look at previously posted ING’s analysis for fair value EURUSD
There the Euro would continue falling, except if
a) Dutch TTF Gas do fall into normal levels, that is well before the Pandemic
b) ECB starts to do real Monetary Policy Fisher style
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Currently we see officials have opposite policies for both
That means We are going to see EURUSD printing sub par (only psychological) at some point rather soon.
Beside that the winter is getting harsh in EU and just the last pipeline via Turkey and Syria has remained open – which is the last hope for EU policy makers to hold It up somehow – But analysts say its naive’ this too as a policy, since for that pipeline to work fully one needs a stable Syria, which is not apparently in the interests of the big players there.
The more likely outcome for Syria will be that of Libya, of inter tribal clashes for power that will go on yet for many years to come.
The European Energy Crisis / Bloomberg
COLUMN: Europe will have a natural gas problem this summer — exactly when, seasonally, demand drops and prices typically fall.
And that means the higher-for-longer outlook for regional gas prices just got a bit higher and longer.
If You believe Cable can recover from here on….
You will change Your mind as You see this link from London
Short term 1.21 GBPUSD is Support
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British treasurer Rachel Reeves said Saturday that London was a “natural home” for Chinese finance during a visit to Beijing in the shadow of bond market turmoil back home. Reeves, whose formal title is chancellor of the exchequer, is the most senior British government official to visit China since then-prime minister Theresa May held talks with President Xi Jinping seven years ago. The trip comes as the yield on British government bonds reached a 17-year high this week,
THIS WEEK’S MARKET-MOVING EVENTS (all days local)
Econiday
Talking about the 2007-2009 crisis… What brought this specific recession about was not only the pandemic but the fact that it could have been/can still be mitigated if they do renenge on their restrictions which they placed on the big banks UBS, Citi, Deutsche… around the time of the Rogue (Nigerian) trader scandal at UBS.
If the FED allows banks back into the markets to trade freely like in the 90’s and 2000’s then they are on the way to clearing away the national debt… As a matter of fact the FED can trade it’s way to financial freedom (tharpe), just short the dollar for the long term… lol!
como// The global models are still as effective now as they were then and even more so now… and much much more now… specs have pippettes or “ten thou” rather than what we had in those days of “one thou”.
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