There’s only one currency in focus in this forex trading session and it’s the euro, following the release of key fundamental data earlier in the day with the flash PMI, which saw the German release come in at a truly awful 44.7 against an expected of 49.5. Whilst this shocked the markets sending the euro crashing, it was no surprise given the trend over the last which has seen this release slide from the highs of 63.3 of early 2018, to finally move below the fulcrum of sentiment at 50 in February 2019.
This is a hugely worrying sign for both Europe and the Germany economy which is the powerhouse of the EU, and with other countries now in or entering recession including Italy and Spain, the outlook is increasingly worrying. Whilst the euro tumbled with some great trading opportunities, this weakness also filtered through to equity markets globally, and reinforced with the outlook for US bond markets, where an inverted yield curve is now in progress following the recent very doveish comments from the FED, and reinforcing once more the importance of considering related markets when trading forex.
So, some excellent trading opportunities on the single currency across the euro complex, with the Camarilla levels indicator giving is both targets for exits and also possible entry points.
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