Chinese Trade Balance
During the session on Tuesday, the biggest economic announcement will be the Trade Balance numbers out of China, which gives is a general idea as to how the world’s economy is doing. After all, China is a huge producer of “things”, and that of course shows just how much people could be buying around the world.
French bounce
With this, we are paying attention to the stock markets, and particularly like European equities at the moment. However, it should be noted that we gave back quite a bit in France, so if we are patient, we may get an opportunity to buy another bounce off of the €4500 level via calls. Either way, we have no interest in buying puts, as we do believe that the market will continue to find buyers at the €4500 level, with the range extending all the way to €4700.
Silver looks horrible
Silver markets tried to rally in the fairly thin environment for Monday, but as you can see sold off and actually broke down below the $14.50 level yet again. By forming a shooting star, this tells us that the silver markets still have quite a bit of bearish pressure on them. If we can break down below the $14.40 level, we are buyers of puts as the market should then start heading back towards the $14.00 level.
Dollar bounces against the Yen at 119
The USD/JPY pair did get a bit of a bounce during the session on Monday, using the 119 level as support. This is a fairly decent support barrier, so we would anticipate the market continue to go little bit higher. With this, we are call buyers and aiming for the 120.50 region.
Leave A Comment