• Big Moves in the Currency Market May 16th, 2008, 17:37 - DFX (Length: 6138)
• Arabs consider de-pegging from dollar May 16th, 2008, 12:20 - UPI (Length: 946)
• Euro drops below official rate May 16th, 2008, 07:51 - ROS (Length: 426)
• European Exports Declined, BoE,Fed Signal End of Easing May 16th, 2008, 06:53 - DFX (Length: 1618)
• Dollar below official rate at UTS May 16th, 2008, 04:51 - ROS (Length: 650)
• Dollar creeps up vs. euro and ruble May 16th, 2008, 02:51 - ROS (Length: 606)
• Eximbank sells US$1.2 bln worth of euro bonds May 16th, 2008, 00:07 - APD (Length: 871)
• SBP conversion rates May 15th, 2008, 23:12 - APD (Length: 465)
• EXIMBANK OF KOREA SELLS US$1.2 BLN WORTH OF EURO BONDS May 15th, 2008, 21:26 - APU (Length: 887)
• Euro eases below RUB 37 May 15th, 2008, 09:11 - ROS (Length: 592)

[ More Eurofx News ]

Analysis

Fri 5/16/08

Mov Avg-Exponential Indicator:

Conventional Interpretation: Price is above the moving average so the trend is up.

Additional Analysis: Market trend is UP.

Mov Avg 3 lines Indicator:

Note: In evaluating the short term, plot1 represents the fast moving average, and plot2 is the slow moving average. For the longer term analysis, plot2 is the fast moving average and plot3 is the slow moving average

Conventional Interpretation - Short Term: The market is bearish because the fast moving average is below the slow moving average.

Additional Analysis - Short Term: Even though based on conventional interpretation the market is technically bearish, we will not classify it as extremely bearish until the following occurs: price goes below the fast moving average.

Conventional Interpretation - Long Term: The market is bullish because the fast moving average is above the slow moving average.

Additional Analysis - Long Term: Recently the market has been extremely bullish, however currently the market has lost a some of its bullishness due to the following: the fast moving average slope is down from the previous bar, price is below the fast moving average. Its possible that we may see a market pullback here. if so, the pullback might turn out to be a good buying opportunity.

Bollinger Bands Indicator:

Conventional Interpretation: The Bollinger Bands are indicating an oversold condition. An oversold reading occurs when the close is nearer to the bottom band than the top band.

Additional Analysis: Volatility appears to be declining, as evidenced by a decreasing distance between the upper and lower bands over the last few bars. The market is in oversold territory.

Volatility Indicator: Volatility is trending up based on a 9 bar moving average.

Momentum Indicator:

Conventional Interpretation: Momentum (0.02) is above zero, indicating an overbought market.

Additional Analysis: The long term trend, based on a 45 bar moving average, is UP. The short term trend, based on a 9 bar moving average, is DOWN. Momentum is in bullish territory.upside move is likely.

Rate of change Indicator:

Conventional Interpretation: Rate of Change (1.38) is above zero, indicating an overbought market.

Additional Analysis: The long term trend, based on a 45 bar moving average, is UP. The short term trend, based on a 9 bar moving average, is DOWN. Rate of Change is in bullish territory.

Comm Channel Index Indicator:

Conventional Interpretation: CCI (51.35) is in neutral territory. A signal is generated only when the CCI crosses above or below the neutral center region.

Additional Analysis: CCI often misses the early part of a new move because of the large amount of time spent out of the market in the neutral region. Initiating signals when CCI crosses zero, rather than waiting for CCI to cross out of the neutral region can often help overcome this. Given this interpretation, CCI (51.35) is currently long. The current long position position will be reversed when the CCI crosses below zero.

RSI Indicator:

Conventional Interpretation: RSI is in neutral territory. (RSI is at 61.96). This indicator issues buy signals when the RSI line dips below the bottom line into the oversold zone; a sell signal is generated when the RSI rises above the top line into the overbought zone.

Additional Analysis: RSI is somewhat overbought (RSI is at 61.96). However, this by itself isn't a strong enough indication to signal a trade. Look for additional evidence before getting too bearish here.

MACD Indicator:

Conventional Interpretation: MACD is in bearish territory, but has not issued a signal here. MACD generates a signal when the FastMA crosses above or below the SlowMA.

Additional Analysis: The long term trend, based on a 45 bar moving average, is UP. The short term trend, based on a 9 bar moving average, is DOWN. MACD is in bearish territory.

Open Interest Indicator: Open Interest is in a downtrend based on a 9 bar moving average. While this is normal following delivery of nearer term contracts, be cautious. Decreasing open interest indicates lower liquidity.

Volume Indicator:

Conventional Interpretation: No indications for volume.

Additional Analysis: The long term market trend, based on a 45 bar moving average, is UP. The short term market trend, based on a 5 bar moving average, is DOWN. Volume is trending higher, allowing for a pick up in volatility.

Stochastic - Fast Indicator:

Conventional Interpretation: The SlowK line crossed above the SlowD line; this indicates a buy signal.

Additional Analysis: The long term trend is UP. The short term trend is UP. Even though the stochastic is signaling that the market is overbought, don't be fooled looking for a top here because of this indicator. The stochastic indicator is only good at picking tops in a Bear Market (in which we are not). Exit long position only if some other indicator tells you to.

Stochastic - Slow Indicator:

Conventional Interpretation: The stochastic is bearish because the SlowK line is below the SlowD line.

Additional Analysis: The long term trend is UP. The short term trend is UP. Even though the stochastic is signaling that the market is overbought, don't be fooled looking for a top here because of this indicator. The stochastic indicator is only good at picking tops in a Bear Market (in which we are not). Exit long position only if some other indicator tells you to.

Swing Index Indicator:

Conventional Interpretation: The swing index is most often used to identify bars where the market is likely to change direction. A signal is generated when the swing index crosses zero. No signal has been generated here.

Additional Analysis: No additional interpretation.

Important: This commentary is designed solely as a training tool for the understanding of technical analysis of the financial markets. It is not designed to provide any investment or other professional advice.

Note: The above analysis is computer generated from mathematical formulae, and is provided for educational purposes only. Neither the above, nor any information on this site is intended as a trade recommendation.