Monday, May 2, 2011

Forex Week in Review: April 24-29

MarketPulse FX submits:

By Dean Popplewell

It was a trading week with the broad dollar sell-off finding few obstacles in the calendar. The absence of hawkish innovations from the FOMC has been taken by the market as an all-clear to add to bearish USD momentum and carry trades. It seems that its only immediate savior is a renewed Euro-zone crisis. The technicals are again showing that most currency?s are in overbought territory now that many of the short term targets have been printed. Maybe it will be left up to central banks to protest, just like the RBNZ did by stating that its currency strength was ?unfavorable?. Below are some of the highlights of the week:


EUROPE

  • Trichet's statement that a stronger USD was in the interest of the United States fell on deaf ears this week.

  • Greek, Irish and Portuguese spreads continue to widen to Germany. Spain is showing signs of decoupling


Complete Story »

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