FOREX TRADERS

[ultimatepick]

[22:23 EUR/USD: Opens Asia Looking A Bit Worn As Market Shifts Focus] Sydney,
March 6: The EUR/USD eased below support around 1.3080 during the US session, as
the EUR/USD has been plagued by heavy EUR/JPY selling and a subtle shift in the
market"s focus. Some analysts feel that the rising risk-aversion and growing
fears of a global economic slowdown is the beginning of the end of the market"s
myopic focus on favourable interest rate differentials in determining the
relative value of currencies. In 2000/2001 the market bought currencies that had
central banks promoting growth by cutting interest rates or at least avoiding
raising them. Currencies whose central banks were keeping rates tight were sold
and this resulted in the EUR/USD sliding lower at that time. Analysts note that
the EUR/USD has eased below 1.3100 despite US yields tumbling and expectations
that the ECB will hike rates on Thursday.
Key support for the EUR/USD is found around 1.3005/10. This level contains the
100-day MA and the 61.8 fibo of the 1.2870/1.3260 move and a break below would
be a bearish event. The EUR/USD trades 1.3091/96. -- [e-mail]