Trade Team Update

As far as the market goes, today was totally dead with London and NY on holiday. We won't see any real liquidity come into the market until 0300 EST. It's possible we pull slightly out of this range during Tokyo, but I'm not expecting any earth shattering moves.

We do have some key fundamental events happening tomorrow...

Consumer Confidence -- how happy is the consumer? Not very as far as I can tell. Why would the consumer have anything to cheer about when gas is going up on an daily basis, home forclosures are up, employment is down, real wages aren't keeping up with real inflation, and big discounts from retailers aren't enough to lure people into running up credit card bills? USD-.

New Home Sales -- I don't see a whole lot of signs showing any significant recovery in the housing market. Building permits are still weak and that means new home construction is weak. Look at the home builders as well, they are still suffering. There are a few signs of life, however, and I believe tomorrow's data might come in at expected and not disappoint too far to the downside.

The Case-Shiller data should suck. German Consumer Confidence should come in at or slightly below expected, and German GDP should come in at expected.

EUR/USD:

I am still very much biased euro long on the short-term. I am still buying the euro dips and will be looking for strategic locations to short the euro on the rises.

Although the market is totally dead right now I still see signs within the price action that the euro has a higher probability of going up than it does of making a significant drop.

I'll post some key levels even though it's not as easy without the liquidity and volatility I like to see.

Key upside levels:

1.5778
1.5799
1.5817
1.5834
1.5858

Key downside levels:

1.5764
1.5746
1.5732
1.5714

Bias: euro long.

That's all for now. Be smart with your trades and your leverage use the next 12 hours or so... we won't be stuck in this 30-pip range for too much longer I suspect.