ForexSpirit

The raft of US data releases this morning doesn’t seem to have tempted the EUR-USD market much. The data was pretty US dollar positive, with core PPI, Industrial Production and the Capacity Utilization Rate all above expectations. The TICS was the real surprise, coming in at $126.1 billion, well above the $70B forecast. I guess the rest of world just can’t get enough of those US treasuries. With such dollar positive data I’m pretty surprised that the dollar wasn’t shown at least some love, but the market seems to have almost fallen asleep since.

With the breakout of my grid last week (where the top of the grid was at 1.37) it was looking likely that a grid adjustment might be needed. Since price has been hovering just below 1.38 for a good few days now, I felt comfortable making a grid adjustment yesterday. I’m going for a new grid between 1.36 and 1.40. There was a choice to made: whether to to do a half grid adjustment and have 1.35 as the new bottom of the grid, or move it slightly higher to 1.36. I chose the 1.36 level as there is direct support at this level, while the next valid support level is at 1.345, which would fall outside of the grid that had a base at 1.35.

The 1.4 top of my new grid also plays nicely into the calls most analysts are making for the euro’s next major target.

The July 2007 edition of SFO magazine arrived in my post box yesterday. I found the John Carter article that describes a week in his life, being a trader and running a trading business, pretty amusing. I have to say that his lifestyle is pretty appealing. He is able to trade and run his business from his home. He has the fun of juggling kids, managing trades and running a trading education business. I can definitely see myself moving in that direction.

After reading the article I’m looking forward to reading John Carter’s book ‘Mastering the Trade‘, which I received recently as a birthday present (thanks Grainne!).

I never have enough free time to read the magazine front to back, but it contains the odd interesting and useful article, so feel free to avail of their free subscription offer.