EUR/USD continues to slide....

The euro (EUR) continues to slide against the US dollar (USD) as the pair trades at just above 1.3080. The single currency has found strong resistance at 1.3140 after it had risen from a 6 month low. The pair is heavily influenced by fundamentals such as the Cyprus bailout which has set forth a new agenda for managing country’s in debt.

• Gold (XAU) dropped a whole 150 dollars per troy ounce since Friday as the market re-evaluates its value. The yellow metal is now trading just above 1447 after news that the Central Bank of Cyprus may sell a large amount of its gold as part of a bailout deal with international lenders; such moves are incorporated in pricing in any possible effects of a Portuguese or Spanish bailout.
• The US dollar (USD) is losing against a strengthening Japanese yen (JPY) as the US treasury urged Japan to refrain competitive devaluation. The pair, currently at 98.02 is expected by any analysts to strengthen further as Japan goes ahead with monetary easing.
• Weekly option volatilities for the EURUSD have dropped to 8.00 as fear leaves the market amid thin news and option premiums edge lower. A good opportunity to bet on the market moving sideways.

Movers & Shakers

USDCAD

The US dollar (USD) spiked up in yesterday’s opening against the Canadian dollar (CAD) moving above 1.0190 from 1.0135 on Friday’s close. The pair, which is on a bearish trend for the past month, does not miss a chance to give traders another chance to enter.

Outlook

EURUSD Pivot Point 1.3070 with a preference to go LONG at 1.3070.

Sentiment is 40% of deals to buy EUR

USDJPY Pivot Point 98.85 with a preference to go SHORT at 98.85.

Sentiment is 43% of deals to buy USD

GBPUSD Pivot Point 1.5385 with a preference to go SHORT at 1.5385.

Sentiment is 59% of deals to buy GBP

AUDUSD Pivot Point 1.0475 with a preference to go SHORT at 1.0475.

Sentiment is 51% of deals to buy AUD

GOLD Pivot Point 1495 with a preference to go SHORT at 1495.

Sentiment is 66% of deals to buy GOLD

OIL Pivot Point 91.30 with a preference to go SHORT at 91.30.

Sentiment is 50% of deals to buy OIL

US 500 Pivot Point 1530 with a preference to go LONG at 1530.

Sentiment is 12% to buy US 500

UK 100 Pivot Point 6373 with a preference to go SHORT at 6373.

Sentiment is 37% to buy UK 100

Calendar

EUR – Trade Balance at 09:00 (GMT) Forecast 9.9B

USD – Empire State Manufacturing at 12:30(GMT) Forecast 7.2

USD – TIC Long Term Purchases at 13:00(GMT) Forecast 41.3B