After weeks of hard risk deleveraging, it is reasonable to expect markets have priced in much of the mass’ fears and thereby find a temporary point of stability. With sentiment in balance, an event like the Facebook IPO could turn the ship. Yet, that was not the case through Friday’s session.

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The Calculated Mover: EURGBP

Posted by On May - 18 - 2012 0 Comment

The EURGBP has dipped nearly 19% from its 2008 highs. As the pair declines to fresh lows in a channel, trend traders look to calculate fresh entries.

The greenback continued to gain ground ahead of the G8 Summit, with the Dow Jones-FXCM U.S. Dollar Index climbing to a fresh yearly high of 10,154, and the reserve currency should appreciate further as we don’t expect to see any major developments over the weekend.

Market sentiment firmed up ahead of the G8 meeting as the EU talked down the risk for a Greek exit, and the rebound in risk-taking behavior may gather pace in the days ahead as European policy makers increased their pledged to bolster the euro-area.

Canada’s inflation remain remained stable at 0.4 percent in April for the fourth straight month as rising price pressures on automobiles and clothing offset easing pressures on energy and gasoline.

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