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The USD is trading lower as stocks rally and gold trades at a new record high, equity markets rallied in reaction to news that Bank of America will repay $45bln in taxpayer bailout funds, JPY pressured by improving risk sentiment and in reaction to Tuesday’s decision by the BOJ to…

The risk appetite fountain is fully on this morning as investors the world send stocks cascading higher and the dollar down along with government bonds. Overnight gains in Asian stocks where investors pushed the Nikkei up 3.8% in response to a weaker yen were cemented by the announcement from Bank…

As widely expected in the market, the ECB held its benchmark interest rate steady at their historic low of 1.0% for the seventh consecutive month. The intensity of the anticipation increased now as we are one stop away from the final revelations from President Trichet and the future of the…

Eur/Gbp is poised just above the 61.8% Fibo of .9043, possibly for a move to the upside. If the pair can hold this level look for .9062 (200 hour M/A) to act as first level of resistance. Next level to upside would be the 100 hour M/A at .9089.

If we break below a retesting of yesterday’s low (.9024) is likely. This level should act as a good level of support.

The world?s leading economy continues to show further improvement over the past few months where investor?s focus will be on the Nonfarm payrolls report that is due to be released tomorrow, but today?s labor sector data should provide a slight peek for the infamous jobless report.

GBP finished higher on Wednesday building on its recovery activated at the 1.6267 level, its Nov 25?09 high and turning attention to the 1.6744 level, its Nov 25’09 high and the 1.6875 level, its Nov 16?0-09 high. Violating these key levels will convince the market that its decline has ended…

The pair continues to hold above its longer term rising trendline though cautiously as momentum is building up slowly. While this occurs, we envisage a trade towards its Nov 25?09 high at 0.9321. Decisively overcoming that level will signal a retarget of its YTD high residing at 0.9404 where a…

Cable has slipped a bit after rising towards 1.6721 during the day. Till the Resistance at 1.6720, we would expect the pair to fall towards 1.6550 if not lower during the US session. Immediate Support of 1.6625 once surpassed would lead to a fall towards 1.6550 or even lower during…

Dollar/Yen climbed on Wednesday, as expected, up to the 87.66 top, closing the day at 87.37. The upward adjustment scenario, which had created convergence, remains intact, but has now found good resistance at 87.91. Middle term signals are expected to be neutral. In the short term unless we see a…