By www.CentralBankNews.info South Korea’s central bank held its base rate steady at 2.75 percent, as expected, and said economic growth is weak and inflation low though likely to rise as downward pressures disappear.
The Bank of Korea (BOK), which cut interest rates by 50 basis points last year, said it expects the global economy to sustain its modest recovery “but judges that the uncertainties related for instance to the fiscal crises in the euro area and to fiscal consolidation in the US have not lifted and remain as downside risks to growth.”
Korea’s consumption and investment in facilities declined due to temporary factors but the BOK still expects the country’s negative output gap to remain for a considerable time due to slow global growth mainly due to “the sluggishness of economic activities in the euro area” – the same phrase the central bank used in February.
Korea’s Gross Domestic Product expanded by 0.4 percent in the fourth quarter from the third, up from a quarterly rise of 0.1, for an annual increase of 1.5 percent, the same year-on-year rate as in third quarter.
Inflation continues to be low – headline inflation rate eased to 1.4 percent in February from January’s 1.5 percent and core inflation was 1.3 percent – and is expected to remain low due to weak demand.
“The Committee forecasts, however, that it will rise above its current level as downward pressures from institutional factors partially disappear,” the BOK said in a statement.
In January the BOK cut its forecast for economic growth and inflation in 2013 and said the pace of recovery in the first half of this year would be below South Korea’s long-term trend. For 2013 it forecasts growth of 2.8 percent.
The headline consumer price inflation rate is forecast to rise to an average of 2.5 percent in 2013 and then rise further to 2.8 percent in 2014. In 2012 the inflation rate was 2.2 percent. Foreign investors have invested in Korean financial markets with long-term interest rates down due to large inflows, the bank said, adding that the Korean won recently risen against the U.S. dollar due to the emergence of geopolitical risk.
USDJPY stays above a upward trend line
USDJPY stays above a upward trend line on 4-hour chart, and remains in uptrend from 90.93, the fall from 96.70 is treated as consolidation of the uptrend. As long as the trend line support holds, the uptrend could be expected to resume, and further rise to 97.00 area is still possible. On the downside, a clear break below the trend line support will indicate that the uptrend from 90.93 has completed, then the following downward movement could bring price back to 93.00 zone.
Stock Market Warning: Next Week Could be a Blood Bath
The Dow Jones has just recorded nine up days in a row.
That’s the longest winning streak since November 1996.
I have just released a new video revealing why the odds are now incredibly high that we’ll see a stock market fall in the immediate future – perhaps as early as next week – and how you can successfully trade this move for profit.
You see, there comes a time in trading when you need to back yourself and stand firm in a view.
That moment has arrived for me.
After what has seemed like an eternity the ASX has now done the work necessary and set itself up beautifully to catch many investors and share traders with their pants down.
The long overdue correction in prices is very close.
That doesn’t mean prices won’t eventually find support and then turn back up again, it just means that the risk is well and truly to the downside from here for the immediate future.
Here’s why…
The next time the ASX 200 closes below 5025 my conviction levels will increase dramatically.
The most amazing thing about price action is its ability to constantly fool the great majority of traders. Even after watching prices for many years it still astounds me how consistently the stock market can tempt you into a bad position.
It all comes down to the underlying structure of price action. Let me explain…
How the Stock Market Leads You Astray
Prices trace out distributions that have many false breaks at either edge of the range before breaking out of the range and shooting higher or lower.
Share traders tend to place stop losses outside the extremity of the range. That means the false breaks stop out those traders, while also sucking other share traders into bad positions at exactly the wrong time.
The current set up in the ASX 200 is a perfect example…
From the very small scale to the large scale we’re now getting signs that a sharp correction is around the corner.
One of the key things I like to look for is when a distribution occurs around an important point, such as a key support or resistance level.
This is quite logical when you think about it for a minute.
If there is a very important technical level, then every man and his dog will be looking at that level and making decisions based on whether they think that level will hold or not.
If everyone focused on this ‘line in the sand’ so to speak, then the most frustrating thing that can happen is if prices create a distribution around that level. Both bulls and bears will be whipped out of positions before the price is ready to either breakout above a resistance level or fail to hold above it.
The major high of 5025 in the ASX 200 is a perfect example of this phenomenon.
All the commentators are saying that ‘prices have broken out to multi-year highs’ because the stock market closed for one day above the 5025 level, which was the high from April 2010.
Look at the chart below to see what I mean:
ASX 200 Daily Chart
First of all let’s analyse the price action around the low from May 2010.
You can see quite clearly that prices spent over a year tracing out a distribution around that 4175 low from May 2010.
If you knew there was a probability that prices would do this then your task becomes trading the distribution that occurs around that very important point.
There were plenty of opportunities to do this over the last year.
Next, look at where we are now:
ASX 200 Daily Chart
You can see from this close up of the ASX 200 that prices are in the early stages of creating what will probably be a distribution around the key 5025 level.
The false break of the high of this range at 5106 is the first low risk opportunity to short sell this stock market. But you would get out of any short position if we close above the recent highs at 5163.
That means you only need to risk 57 points (1.1%) to find out if you’re right. The upside from being correct is the potential of seeing a fall towards the Point of Control of the long-term structure at 5600. That’s a 500 point (10%) fall from here, makes the potential risk/reward of this trade 9:1.
Even a fall to the bottom of the current range would see a 131 point fall to 4975. This gives you a potential 2:1 risk/reward which has a pretty high probability of coming off.
The more conservative approach from here is to wait for further confirmation that the correction has begun.
Nothing Goes Up in a Straight Line
As I said previously, a close below the key 5025 level from here is important. Last week’s low was 5010, so a weekly close below that level would also create a weekly sell pivot, having had a false break of the high.
If we saw that happen this week then I would feel very confident that next week was going to be a bloodbath for the markets.
As I look at the markets I can see a lot of complacency. Many traders and investors think that things are on the mend and the stock markets will continue to rally. Trouble is…nothing could be further from the truth. Traders need a dose of reality to remind them that markets never go up in a straight line.
This current set up has been many months in the making.
The stock market is incredibly overbought at the moment and the fact is when you rally so far so fast, when the music stops there is very little technical support below the market.
That means once the selling begins it will surprise everyone by how quickly it can fall.
Well, everyone that is, except you.
Murray Dawes
Editor, Slipstream Trader
[Editor’s Note: Murray has just published a brand new film warning about the dangers of the over-bought Aussie share market. In fact on 13th February the market breached a major level that Murray says will have a key impact on how the market behaves in the coming months. To find out more about this breach and how you can learn to trade this important signal alongside Murray, and reap the potential rewards, simply click here.]
From the Port Phillip Publishing Library
Special Report: Australia’s Energy Stock BLOWOUT
Daily Reckoning: A Crazy Warning Sign for BHP and CBA Shareholders
Money Morning: Three Banking and Retirement Scams To Look Out For
Pursuit of Happiness: Freelance Investigator Takes on the Australian Mortgage Industry
‘I fought the banks and got 75% of my mortgage cancelled’
The markets went quiet again last week after the sudden jump in volatility surprised everyone in the weeks before. For a while, the Euro crisis featured in headlines again. But nothing proved more exciting than America’s Sequester. Alongside Filibuster, it’s just another word the Americans use to describe political shenanigans.
If you don’t know about the Sequester and the Filibuster, it looks like you don’t need to. Now that both have happened, the Volatility Index (VIX) is back to 2007 lows and the market is heading back up.
While Bernanke continues to print money, why do Sequesters, Filibusters and Euro crises even matter? He can just print more if things get worse. Warren Buffett is fond of saying, ‘Only when the tide goes out do you discover who’s been swimming naked.’ Well, the tide has turned on Australia’s largest industry – finance.
It turns out there are nudists galore. This has exposed an opportunity that isn’t about financial markets and investing. It’s about enforcing your rights if you’ve been wronged. And the rewards could be enormous.
A Mortgage Scandal in the Making
We first wrote about Australia’s mortgage scandal in August last year. Back then, everyone in Australia knew that those American NINJA loans (no income, no job, no assets) couldn’t happen here. And they were right. It’s even worse. Australia has NINJAD loans. No income, no job, no assets and dodgy documentation.
The NINJA loans wrought havoc with America’s economy in 2008. So finding out the same thing was happening here was horrifying. Could we experience a similar financial crisis as a result? Maybe, but never mind that. It’s the dodgy documentation that’s the real story.
Here’s why: If you find the right kind of errors on your mortgage paperwork, it could mean cancelling your mortgage and owning your home outright.
Most people just refuse to believe that statement. It’s just not possible you could cancel your mortgage, is it? The bank won’t suddenly say, ‘You no longer owe us money, stop sending us the monthly cheque.’
Let’s be clear. If your mortgage documentation was manipulated, your loan could be reduced or extinguished altogether. You would own your home with far less debt owing, or no debt at all.
That probably still sounds surreal. Well, it took months of research to confirm this opportunity is very real for vast amounts of Australian borrowers who know nothing about it. Today Tonight, Four Corners, The Australian and many more media outlets have reported on this story.
Today Tonight‘s expose featured two best friends who were separately conned into making property investments they couldn’t afford. Their documentation was manipulated after they signed it to get them past lending standards. Today Tonight featured them both saying, ‘I fought the banks and got 75% of my mortgage cancelled.’ There are many more stories like theirs.
Some borrowers ‘only’ had their mortgage reduced by around 75%. But dozens of people have had their mortgages reduced to a whopping $0.00.
At least, that’s what we thought. Most of these examples are kept secret, so you don’t really know how much people’s mortgages end up being reduced. The banks don’t want word getting out that they are cancelling mortgages, so they make borrowers sign confidentiality agreements as part of the deal.
But the consumer advocate who helps these people fight their lenders did reveal how many people she’s helped. Denise Brailey of the Banking and Finance Consumer Support Association gave an interview to Today Tonight. In that interview, she said this:
‘Well I’m only one person and I’ve been able to get at least 200 of these mortgages extinguished.’
That’s one person cancelling hundreds of mortgages. And that was last year. Never mind dozens, there must be hundreds more people cancelling their loans. And who knows how many hundreds more if word gets out.
But here’s the kicker in Denise’s interview. ‘There could possibly be $50 billion worth of mortgages to be extinguished…’ That could be more than 150,000 mortgages.
In other words, there is a massive opportunity for far more borrowers to enforce their rights against lenders than the hundreds who have done so already. And you could be among them. All you need is a step by step guide on how to find out if you could get your mortgage cancelled too.
So that’s what we’ve come up with. A report explaining exactly what happened, how to find out if you could cancel your mortgage, and how to go about doing it. It’s surprisingly easy to get started and find out if the opportunity applies to you, or your friends and family. More on that in a moment.
But you’re probably wondering just what kind of manipulation of documentation can get a loan cancelled. Well, here are some examples of what people have found on their paperwork:
- Jobs have been INVENTED: in one case an unemployed NSW man was listed as a ‘self-employed coffee shop owner’ with a fortnightly income of $3,500… In another, an elderly retired man from Sydney’s Assyrian community was described as being employed and earning a salary of $43,000. And in another, a 70-year old retired printer from Carrum, Vic was described as a ‘self-employed painter’ – a job he last held in the 1950s…
- Salaries have been INFLATED: in one case a lowly-paid deckhand was described as a ship’s captain earning $150,000 a year…in another a self-employed musician earning $36,000 a year was listed as earning $120,000…and a toll booth operator earning $28,000 was listed as earning $38,000…
- Assets have been OVERSTATED: A Sydney couple with a business worth $25,000 and no superannuation were listed as having a business worth $125,000 and super savings of $30,000… In another case a 64 and 75-year old pensioner couple claimed their assets were inflated from $395,000 to $901,263 by their lender…
- People have been DUPED or COERCED: In one case a 98-year-old woman was granted a 30-year loan, prompting one Australian Senator to quip, ‘She must have a good doctor’… In another, a couple ‘were persuaded to sign forms in blank and were told that they would be filled in later.’ And in a third, a retired pensioner couple were persuaded to take out a 30-year loan for $520,000. They were listed on their loan forms as a ‘stock broker’ and ‘solicitor’…
Not All Bad News
The thing is, these stories can have a happy ending…for the borrower, not the lender. When borrowers have challenged the bank on its document manipulation, the courts, financial ombudsman and credit ombudsman have all sided with borrowers.
The real question now is whether people will take this opportunity seriously. Will average Aussie battlers find out about this opportunity and bother to find out whether their mortgage could be cancelled?
We certainly hope so. Back when one of the first court case established the law on these cases, the person who organised funding for the borrower’s 7 year legal campaign said, ‘This could mean that thousands of people may also be able to cancel their loans and that would be a huge win for justice in this country.’ More than $3 million was spent taking the bank to the High Court. The borrower won every step of the way. And other borrowers have been cancelling and reducing their loans since.
Now is the time to fight back against lenders who manipulated people’s legal documents to earn more commissions. Do you want to be able to say ‘I fought the bank and got my mortgage cancelled’?
If people allow this opportunity to sink away, the lenders will get away with what they’ve done. You have the chance to hold them accountable.
The report that reveals what borrowers need to know is being finalised now. It should be ready sometime this week. Keep your eyes open for the video and be sure to send it to anyone you know with a mortgage.
Regards,
Nick Hubble
From the Archives…
Why the Stock Market Boom is on Pause
8-03-2013 – Kris Sayce
Why the Dow Jones Record High Doesn’t Matter
7-03-2013 – Murray Dawes
Taking China’s Economic Pulse from Hong Kong
6-03-2013 – Dr Alex Cowie
Buy Gold When They’re Crying…Sell Gold When They’re Yelling
5-03-2013 – Dr Alex Cowie
Do You Want to Be Right About Investing, or Do You Want to Make Money?
4-03-2013 – Kris Sayce
The Easiest Way to Get Big Gains with Limited Risk in Any Market
‘We have two classes of forecasters: those who don’t know – and those who don’t know they don’t know.’ – John Kenneth Galbraith
The year of the American contagion, the year of chickens coming home to roost, the year of the bailout, 2008, went into history as a momentous time of tumultuous market moves in stocks, commodities, currencies and interest rates.
The year witnessed the onset of a worldwide economic panic with an assault on the global economic system and our form of democracy. The forces of deflation and inflation continue to slug it out in a titanic struggle for dominance. We’ve managed to navigate the stormy seas with a steady hand on the tiller. One of the keys to our success is keeping a sense of perspective.
I’d like to share some seemingly impracticable musings you may find useful.
Some Cautionary Tales on the Market
In 2008, volatility skyrocketed beyond belief. Most market participants, even professionals, were caught by surprise. Big money was made and lost, both up and down, with astonishing speed.
It’s long been known speculators make their fortunes from changing prices, and leverage is an important tool for speculators. Leverage involves using OPM (other people’s money) to try to make more money than you can with your own funds.
Using OPM may augment your reward when you are right, but it may also greatly accelerate the risk of additional loss when you are wrong. That’s the aspect of leverage that so many forgot during the heady times of money trees growing to the sky.
Even some of the market’s smartest participants are done in by blind arrogance. The famous story of the 1990s rise and fall of hedge fund giant Long-Term Capital Management, excellently chronicled in Roger Lowenstein’s When Genius Failed, comes to mind.
That cautionary tale is particularly apropos to today’s enduring financial crisis. Successful trades blinded the firm’s brilliant partners to the possibility of failure, ultimately sealed their fateful demise and threatened the stability of the entire financial system.
Leave Your Ego Behind
In this business, I believe you are better served by checking your ego at the door. Having a complete game plan includes preparing for the worst in every trade. Remember to always speculate based on what you can lose, not what you can gain.
Applying sound money management principles (such as never adding to a losing trade) allows you to stay in the game and avoid being knocked out through inevitable times of losing trades.
If you have anticipated the possibility of loss and are prepared to withstand it, no matter the severity – because you positioned always with known and completely limited-risk vehicles – never be surprised when the market moves against you.
People invariably ask me what I think the market is going to do. I always say that if I knew what the market was going to do, I wouldn’t have to work. Use technical levels of support and resistance to set your exit strategy for each trade.
Make sure that you or your broker monitor your positions closely. The market doesn’t ring a bell when it’s time to get out. Have your plan in place ahead of time and you can smile, laugh, take your profit a step ahead of the crowd and enjoy your accomplishment with a sense of wonder. No matter your success, always be surprised when the market goes your way.
So, like me, never be surprised and always be surprised. Don’t forget that forecasters, even those with good reasoning and strong opinions, are practitioners of uncertainty. That view will serve you well. I hope you found the above mentioned thoughts helpful and wish you all good fortune as you vie for fun and profit for the rest of the year.
Steve Sarnoff
Contributing Writer, Money Morning
Publisher’s Note: This article originally appeared in Penny Sleuth
From the Archives…
Why the Stock Market Boom is on Pause
8-03-2013 – Kris Sayce
Why the Dow Jones Record High Doesn’t Matter
7-03-2013 – Murray Dawes
Taking China’s Economic Pulse from Hong Kong
6-03-2013 – Dr Alex Cowie
Buy Gold When They’re Crying…Sell Gold When They’re Yelling
5-03-2013 – Dr Alex Cowie
Do You Want to Be Right About Investing, or Do You Want to Make Money?
4-03-2013 – Kris Sayce
New Zealand holds rate and sees steady rate through 2013
By www.CentralBankNews.info New Zealand’s central bank left its Official Cash Rate (OCR) unchanged at 2.5 percent, as expected, saying the country’s economic recovery was uneven with both upside and downside risks so it expects to keep the key rate steady for the rest of the year.
The Reserve Bank of New Zealand (RBNZ), which has held its rate steady since March 2011, said demand and output was expanding with rebuilding from the Canterbury earthquake gaining momentum and residential investment and business and consumer confidence was rising.
“House price inflation is increasing and the Bank does not want to see financial stability or inflation risks accentuated by housing demand getting too far ahead of supply,” the RBNZ said.
However, the the labor market remains weak and the “overvalued New Zealand dollar is undermining profitability in export and import competing industries, and worsening drought conditions are creating difficulty in much of the country,” the bank said, adding that fiscal consolidation will also slow overall demand.
“There are both upside and downside risks to this outlook. At this point we expect to keep the OCR unchanged through the end of the year,” the RBNZ said, quoting its governor Grame Wheeler.
New Zealand’s inflation rate was 0.9 percent in the fourth quarter of 2012, close to the third quarter’s 0.8 percent and the second quarter’s 1.0 percent.
The RBNZ targets inflation of 1-3 percent.
New Zealand’s Gross Domestic Product expanded by 0.2 percent in the third quarter from the second for annual growth of 2.0 percent, down from the third quarter’s 2.6 percent.
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Kenya holds rate to let cuts work, election aids confidence
By www.CentralBankNews.info Kenya’s central bank held its Central Bank Rate steady at 9.50 percent to give last year’s rate cuts time to stimulate the economy and said there were still risks to the economic outlook and price stability.
The Central Bank of Kenya (CBK), which cut rates by 700 basis points in 2012 starting in July, said inflation had stabilized within the government’s 5 percent target range, the exchange rate was stable and the peaceful election should further enhance confidence and optimism about 2013.
Kenya’s inflation rose by 0.7 percent in the month to February, pushed up by higher prices of food and non-alcoholic beverages, to an annual rate of 4.45 percent from January’s 3.67 percent.
Inflation that excludes food and fuel, and thus measures the impact of monetary policy, declined from to 4.46 percent from 4.51 percent, the CBK said.
“The predicted favourable weather conditions coupled with non-inflationary credit growth are expected to offset the impact of rising international oil prices, and hence support a low and stable short-term outlook for inflation,” the bank said.
Kenya’s Gross Domestic Product grew by 2.2 percent in the third quarter from the second for annual growth of 4.7 percent, up from 3.3 percent in the second quarter.
Kenya’s economy is bouncing back from the central bank’s aggressive rate hike campaign from 2011 to mid-2012 to combat inflation. Private sector credit growth maintained its upward trend with annual growth in private sector credit up by 11.95 percent in January from December’s rate of 10.42 percent.
The central bank’s market perceptions survey from last month showed that the private sector expects inflation and the exchange rate to remain stable in the rest of this year and “sustained optimism for a strong growth recovery in 2013 on account of the prevailing macroeconomic stability and enhanced confidence in the economy following a peaceful election,” the CBK said.
Despite the positive developments, the central bank said the risks to the outlook stem from the renewed upward drift in international oil prices and a weak outlook for the global economy with the expectation of a more pronounced recession in the euro zone and a slow recovery in the United States.
“This outlook, coupled with the persistent balance of payments pressure due to the high current account deficit remain a threat to the general stability of prices,” the bank said.
www.CentralBankNews.info
American Silver Eagles: Demand So High the Mint Ran Out
By Investment U
In an interview in January 2012, I took some flak from a number of people in the local gold industry.
I said of gold, “Now it’s like any other commodity and is subject to speculation… When you have more speculating taking place, what’s really driving the price becomes murkier, and you get into the situation where there’s a possibility for bubbles… It’s no longer a safe haven…”
I told the reporter: Watch the outflows of precious metals exchange-traded funds (ETFs). When the liquidating begins en masse, there starts to be nothing left propping up the price of precious metals. That means investor demand is waning.
I said this is the first of many red flags.
This was rejected by other “experts.” Gold is only going to go higher and higher, they claimed…
Thirteen months later, the price of gold is down 10.96% since the end of January 2012 and 16.83% from its peak in August 2011.
Investor demand for gold has fallen 10%.
In February, gold ETFs liquidated a record 109.5 tonnes. This represented 4.2% of their holdings, and the largest single-month percentage liquidation since April 2008.
In the fourth quarter of 2012, gold demand from ETFs – which have represented 9% of total gold demand over the last five years and 17.3% of investor demand over the last four years – fell by 16.3 tonnes.
And it’s an international phenomenon, not just limited to the United States.
When ETFs are selling gold – not buying – it’s a bearish signal.
A Buying Spree in Silver Eagles
But there’s a divergence taking place…
The pullback in precious metals prices, combined with uncertain sentiment about the economy, is sparking a buying spree in one investment instrument for precious metals…
Coins.
In fact, demand is so enormous that in mid-January, the U.S. Mint actually had to briefly suspend sales of American Eagle silver coins because it ran out.
And sales of gold coins surged to levels not seen since July 2010.
The past two Januarys for the U.S. Mint have been record-shattering. In January 2012, sales of silver coins hit an all-time high of 6.1 million ounces. The record was short-lived though, as the mint sold 7.1 million ounces in January 2013.
An increase of 16.39% from January to January.
What’s surprising is that the majority of sales are in the form of the box of 500 one-ounce silver coins the mint offers. Investors can’t get their hands on enough of them. And it smells of stockpiling, either for the apocalypse or financial collapse.
It’s part of an interesting trend we’ve seen the last couple of years.
In 2012, sales of silver coins popped in January and then fell sharply and flattened out for much of the year. The pace picked up in the fall but eventually hit a roadblock in December… The mint ran out of its stock and announced there would be no more coins minted until 2013.
This led to a build-up in demand that took shape with January’s record-breaking results. And it carried over into February, where sales of both gold and silver coins – though about half of their January totals – were double what they were in February 2012.
And silver has been the metal of choice for a good stretch.
Before a decline in 2012 of 15.37%, the U.S. Mint set four consecutive years of record-breaking silver coin sales. As you can see from the chart above, the increase in sales is pretty astronomical.
On the other hand, the sale of gold coins continues its trend downward, falling every year since its last peak in 2009.
Sales of gold coins from the U.S. Mint tumbled 24.70% in 2012.
One of the attractive things about minted coins is they have collector value, not just precious metals value… Though with sales of coins from the U.S. Mint at such high levels, it’s hard to imagine those coins appreciating much in the near-term.
Value on those types of items come from scarcity, quality and limited supply.
Good Investing,
Matthew
Article By Investment U
Source: American Silver Eagles: Demand So High the Mint Ran Out
Real-Forex Market Analysis 13.3.2013
Forex Daily review brought to you by REAL FOREX | www.Real-forex.com
EUR-USD
Date: 03/12/2013 Time: 18:09 Price: 1.3031
Strategy: Short / Long
Graph 4 hours
Quote previous review:
Again the price has climbed to the upper lip of the parallel descending channel (broken red line), which was blocked at the level of 1.3100 and went back down to the level of support at 1.2967. Another breaking level of 1.3100 will,most likely, continue going north towards the next resistance level untilan outbreak of 1.3166level appears, whichwill certainly lead to the next resistance level of 1.3265, a level which is also a 38.2% Fibonacci correction on the last downtrend (described by the black broken line). However, a level of 1.2967, will initially support the price levelsin the areaof 1.2880 (you can see the daily chart).
Current Review today:
The price couldn’t break into the top lip of the parallel descending channel, when another attempt today ended in a long “cord” down and back again to the middle range position. Another breaking of the level of 1.3100will, most likely, continue going north towards the next resistance level of 1.3166, thatmight lead the next resistance level of 1.3265, a level which is also a 38.2% Fibonacci correction on the last downtrend, described by the black broken line. However, breaking of the price at the level of 1.2967, will initially support the levels around the 1.2880 (you can see the daily chart).
You can see the graph here:
GBP-USD
Date: 13/03/2013 Time: 18:22 Price: 1.4886
Strategy: Short
Graph 4 hours
Quote previous review:
The pair continues its determination to step down,while all rising attempts are being only a technical correction attempts during continues descent before. As long as the falling price structure doesnotchanges, it is most likely that it is on its way towards the bottom lip of adescending parallelchannel (described by the fragmented red lines).
Current Review today:
Again, during the last trading day, the price went lower thanprevious lows were created and nowthe price fails to raise above the moving average of the Bollinger bands. Every move increases a technical correction during the last descent before it, and as long as the falling price structure doesn’t changes, it is most likely,that it’s beingon its way to the bottom lip of the parallel descending channel (described by the fragmented red lines).
You can see the graph here:
