At the Close. Maybe...or maybe not.

17:59CET

There's been really nothing to comment up to now (and this just to be an excuse to write some closing words for the day and week), as the initial hysteria after the US employment figures has been followed by market apathy and as a result nothing really interesting to talk about.

The market frenzy seen yesterday in the afternoon indicated that something was going on behind the scenes...or maybe not. As it has been pointed out in many sites/blogs, there was the thought in the market that today's NFP could restore some sanity to the picture of some of the FX majors' charts, but they were just wishing too much. Indeed, the Euro is back to where it was yesterday, so in a purely closing-to-closing basis, we've wasted two trading days, the huge market noise in the middle notwithstanding.

Are the technical FX charts worth to read at this point? Are there any techies willing to make the charts any credible? I honestly don't know...now. I'm not protesting against them (why should I anyway?), or trying to blame someone ('they') in the process, but it does look fishy when you can't look at the charts the way you would not so long ago. I don't care if it's QE2, XE, XP, Vista o Acrobat what is driving this major force from behind that is causing the current market disruption, leading to insanity. I also don't care if the monopoly Dollar goes up or down, but I do care about the charts. AND THEY ARE NOT BEING RESPECTED AT THIS POINT. That also, as history has tried to warn us in the past, leads to similar processes in the opposite direction, if/when they take place.

Speaking of insanity, and despite some Cable News / Showmen jokes, Gold is in insane territory and there's nothing one can do about that. Chart-wise, the situation is in total aberration, but again, gold-diggers and fear-mongers like to call for Gold as the next Holy grail and add the fact that inflation-adjusted its price should be around $2,000, so it's time to by. Yeah, right... That is also helping the AUD become insane, not that the currency has been technically very sane in its history, but come on...now it's beginning to look like a joke. I feel next 2 weeks will be of even more market volatility so fasten your seat-belts and get ready to roll!

As the market seems to have already gone on holiday (Columbus day in the USA is due on Monday, so beware of UK wolves to play their own game alone), here is a reading that may help you get through the weekend a bit better.

http://www.zerohedge.com/article/fx-war-update-rio-offensive-valiantly-defends-feds-beach-head

Posted via email from MT4