Sir Pipsalot's Wednesday Market Update 08-25-2010

Sir Pipsalot

Former FPA Special Consultant
Hey folks,

I'm a bit too tired for a complete recap of all the trends out there, but suffice to say I'm shifting to a more neutral bias on EUR/USD and waiting for clear signs of a bottom, while holding short stocks for further downside in accordance with yesterday's signal.

In news Tuesday, we saw CAD Retail Sales come out too close to expectations, but US Existing Home Sales came in astonishingly low. It's at the lowest level I could find looking through data from the past decade or so, but the USD/JPY could only manage 26 pips of downside, and stocks were already firmly gapped down on the open, so the bad news was limited to a 0.7% drop over 2 minutes on the S&P 500 futures. In news Wednesday:

0400 German IFO Business Climate (105.7 expected) - Last month we hit a big trigger here and went 30 pips in 3 minutes, followed by steady extention to an 80 pip rally over 40 minutes with little retracement. A big surprise here should help set the tone for the session and evoke a nice trend for 30-60 minutes.
If it comes out at 107.7 or higher, EUR/USD should rally 20-30 pips initially and retain a positive bias for the next hour.
If it comes out at 103.7 or lower, EUR/USD should drop 20-30 pips initially and retain a negative bias for the next hour.

0830 US Core Durable Goods (0.5% expected) - A decent trigger here should cause a 25-35 pip move on USD/JPY over 2-3 minutes.
If it comes out at 2.1% or higher, USD/JPY should rally 25-35 pips.
If it comes out at -1.1% or lower, USD/JPY should fall 25-35 pips.

That's all for today's update. If you'd like to learn more about trading or trade along with myself and my collegues, come join us at Profit Mongers. Our subscription is very reasonable at $179 per month, and right now you can sign up for a 2 week trial to get started for only $29. This offer is for new customers only. If you have any questions, you can also email me at

To our success!
Sir Pipsalot


Thank you to Felix

I can't find where to post thanks so the latest post seems the best option.

Would you please pass on my thanks to Felix for the free gift he sent me? :)

I am very grateful especially as it is a Jay Abraham DVD.

Also I really really enjoyed the newsletters/posts he sent out on the spirituality aspects of life.