Forex Bull

The Swiss National Bank is set to announce interest rates in European hours. Expectations are mixed, with economists predicting a 50 basis point cut while overnight index swaps price in no change in interest rates.

Read more here:  Identifying Trades with DailyFX 12.11.08 (Daily FX)

The Swiss National Bank is expected to cut their target rate by another 50bps bringing it down to 0.50% which would be just above the 0.3% of Japan?s. The central bank has aggressively cut rates by 175 bps since September as the global slowdown has crippled the country?s export driven economy.

Thu, 11th of December, 2008 By Setyo Wibowo (analyst@fxinstructor.com) EURUSD Outlook Yesterday we have a good example of how a combination of a bullish channel and Hammer candlestick formation can be very powerful. The EURUSD made another bullish momentum, topped at 1.3069 and closed at 1.3021 . The bias remains to the upside in nearest term targeting 1.3217 and 1.3288 area

New video for tonight – main points include: Still a little up in the air here – hoping for continued consolidation that could set up a more powerful breakout. Inverse ETFs are at some possible support levels – will they break through?

What started out as a buoyant looking week for the currencies has found most of the pairs mired in mixed trade with only Euro and its EURJPY crosses managing so far to push the rebound agenda. With equity markets slipping Tuesday and needing a late recovery Wednesday most of the rest remain mired in mixed trade. For now note that the failure to see new highs in GBPUSD, AUDUSD, and their Yen crosses this week now has daily oscillators near turning from its bullish bias, as the US auto bailout gets drawn out and we head for the weeks key releases Thursday and Friday

The Federal Reserve Open Market Committee is scheduled to announce its final monetary policy decision for the year and almost certainly this cycle next Tuesday. According to the markets, the future is clear.

Commodities investors set aside their preoccupation with the economy Wednesday, focusing on a weakening dollar as they sent prices for gold and other contracts higher.

On Tuesday, we talked about how volatility in the forex market has exploded in 2008.

The dollar slipped against the major currencies but gained against the yen as stocks seesawed on the looming $15 billion auto bailout in Washington and fresh worries about the health of the financial sector.