FXstreet.com Live Sessions Archives

The German Reformation

Expert: Joseph Trevisani, Chief Market Analyst at FX Solutions
Moderator: Maud Gilson

Summary:

The political history of Europe since Bismarck’s unification of Germany in 1871 has been the struggle of the European nations to contain the military, political and economic might of Germany. Germany has fought three wars in two centuries, the Franco-Prussian in 1870, and the First and Second World Wars to prevent what its leaders perceived as the dangers inherent in its central strategic position between France on the West and Russia on the East. The desperate desire of the continent's leaders to avoid a repeat of the disasters of the first half of the 20th has dictated the purpose and structure of every major European international system since 1945.

Fed's Bernanke testimony Live Coverage

Breaking News: Fed's Bernanke testimony Live Coverage

(02/24/2010)

  

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2:45	FXstreet.com:  Information and opinions contained in this live coverage session are for educational purposes only and do not constitute trading recommendations. Wednesday February 24, 2010 2:45 FXstreet.com

2:45

FXstreet.com:  Trading OTC Forex on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange or futures you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange and futures trading, and seek advice from an independent financial advisor if you have any doubts. Wednesday February 24, 2010 2:45 FXstreet.com

2:46	FXstreet.com:  Good morning, good afternoon, good evening and good night to traders all over the world. Be very welcome to this Special Breaking News Live Coverage about Bernanke's testimony. Wednesday February 24, 2010 2:46 FXstreet.com

2:48	FXstreet.com:  We will be offering you the last minute of Bernanke's testimony as well as following the market movements. For that, I am glad to welcome back to Valeria Bednarik. Wednesday February 24, 2010 2:48 FXstreet.com

2:48	FXstreet.com:  Hello Valeria! Wednesday February 24, 2010 2:48 FXstreet.com

2:48	Valeria Bednarik:  Hi everyone and welcome back! as always a pleasure to be here with you, and Fxstreet.com. We have a bunch of major event coming right now, and will be great to cover Live! what's going on with crosses. Hope you enjoy this! Wednesday February 24, 2010 2:48 Valeria Bednarik

2:49	[Comment From IyasIyas: ]  What will he be talking about? Wednesday February 24, 2010 2:49 Iyas

2:49	Valeria Bednarik:  Hi Iyas, and welcome. We are going to follow markets reaction to the two majors events, taking place in the next 10 minutes: Wednesday February 24, 2010 2:49 Valeria Bednarik

2:50	Valeria Bednarik:  First one, Bernanke's testimony in front of the Senate. Chances of comments about unemployment and rates will be focusing investors attention. Wednesday February 24, 2010 2:50 Valeria Bednarik

2:50	FXstreet.com:  Valeria wrote a post on his blog about the event on focus: http://blogs.fxstreet.com/advisor/2010/02/24/waiting-for-bernankes-testimony/ Wednesday February 24, 2010 2:50 FXstreet.com

2:50	Valeria Bednarik:  Second, New Home Sales, as despite expected to the upside, has been in a downtrend since December past year, big part of current risk aversion general sentiment Wednesday February 24, 2010 2:50 Valeria Bednarik

2:50	[Comment From TamerTamer: ]  Hi Valeria, Very interested to know your outlook on the GBPUSD & EURUSD. I am bearish on the Pound - but standing aside on the Euro at the moment. Wednesday February 24, 2010 2:50 Tamer

2:50	FXstreet.com:  And I also would like to recommend you to read the exclusive report provided by Ransquawk: http://www.fxstreet.com/fundamental/economic-indicators/preview-bernankes-humphreyhawkins/2010-02-24.html Wednesday February 24, 2010 2:50 FXstreet.com

2:51

FXstreet.com:  Read an extract of Ransquawk's report: Humphrey-Hawkins: Federal Reserve Chairman Ben Bernanke will testify before the House Financial Services Committee Wednesday and the Senate Banking Committee on Thursday. As per usual practice the testimony on Thursday will likely echo that made to the House committee today. * Bernanke will be very careful with his wording and is likely to reaffirm that the latest move to up the discount rate is merely a technicality and that extended period will be present in the FOMC minutes for months to come. * Bernanke will reaffirm the Fed has the necessary tools at its disposal to shrink the balance sheet in a timely and orderly manner. * Expected to point out that the majority of commentators, as well as Fed economists expect jobs creation in the near future, but elevated unemployment levels likely to remain for some time. Wednesday February 24, 2010 2:51 FXstreet.com

2:52

Valeria Bednarik:  i do believe that standing aside in Euro right now is a good choice at the moment, as the pair is trapped in a very small range; we need to see the pair consolitating either under 1.3530 or above 1.3640 to see a more clear trend developing. Pound is regaining some strength with strong opening in Wall Street, still facing the 1.5440 first resistance area Wednesday February 24, 2010 2:52 Valeria Bednarik

2:53	Valeria Bednarik:  Above it, pair could approach back to 1.5490 and 1.5530, but won't be losing the mid term bearish tone. To the downside, immediate supports come at 1.5410 and 1.5390 ahead of 1.5330 lows. Wednesday February 24, 2010 2:53 Valeria Bednarik

2:54	Valeria Bednarik:  I also due see Euro bearish mid term, unless recovery manages to extend above 1.3720 resistance area. However, now is a wait and see moment in market Wednesday February 24, 2010 2:54 Valeria Bednarik

2:54	[Comment From GuestGuest: ]  hi where u seeing euro n usd Wednesday February 24, 2010 2:54 Guest

2:54	Valeria Bednarik:  Levels for Euro are 1.3610 and strong 1.3640 to the upside, followed by 1.3690 then. If losses 1.3530 support, I will expect the pair to resume downtrend and test the 1.5330 area Wednesday February 24, 2010 2:54 Valeria Bednarik

2:55	[Comment From IyasIyas: ]  Home Sales and Bernanke? Wednesday February 24, 2010 2:55 Iyas

2:55	Valeria Bednarik:  Yes Iyas, exactly those two Wednesday February 24, 2010 2:55 Valeria Bednarik

2:55	[Comment From TamerTamer: ]  Do you expt the U.S Hosing numbers to have a strong impact on currencies, or are we more anticipating Bernake's comments? Wednesday February 24, 2010 2:55 Tamer

2:56

Valeria Bednarik:  I do believe that a bad reading there could weigth stronger in currencies, as risk aversion seems to have been ruling quite strongly market these days. On contrary, a better much better than expected reading could trigger further rises in stocks and so, anticipate dollar and yen loses. Wednesday February 24, 2010 2:56 Valeria Bednarik

2:56	[Comment From femi olajidefemi olajide: ]  how long will bernanke testimony last Wednesday February 24, 2010 2:56 femi olajide

2:57	Valeria Bednarik:  I do believe that at least 30 minutes, if we consider he will be also answering questions. Wednesday February 24, 2010 2:57 Valeria Bednarik

2:57	[Comment From KKKK: ]  any views on gold? Wednesday February 24, 2010 2:57 KK

2:58

Valeria Bednarik:  Gold is back in the $1100/oz area, really a tough support level; I don't see it being easily break, despite the 1090 low printed earlier today. It will all be a game of cause and consequence. Yet if gold loses the 1082 area, I would expect further falls and of course, more dollar winnings. Wednesday February 24, 2010 2:58 Valeria Bednarik

2:58	[Comment From GuestGuest: ]  Valeria, are AUD/USD and USD/CAD closely attached to EUR/USD? Is it possible to see the latter one holding position, while the first two moving? Wednesday February 24, 2010 2:58 Guest

3:00	Valeria Bednarik:  Both currencies are what we call commodity currencies, highly related with oil and gold. At the end, there movements affect dollar and so eur/usd cross. so sooner than later, eur will be affected if those two run Wednesday February 24, 2010 3:00 Valeria Bednarik

3:00	Valeria Bednarik:  US HOMES SALES FELL TO RECORD LOW Wednesday February 24, 2010 3:00 Valeria Bednarik

3:00	Valeria Bednarik:  Stocls fall quickly, Dollar regains strength in a first spike, Wednesday February 24, 2010 3:00 Valeria Bednarik

3:02	Valeria Bednarik:  Bernanke is saying that the discount rate change, is not signaling any further changes in the monetary policy, and the peconomic policy remains as published in Jan FOMC Minutes Wednesday February 24, 2010 3:02 Valeria Bednarik

3:02	[Comment From srinivasansrinivasan: ]  will the euro will go high today??/ Wednesday February 24, 2010 3:02 srinivasan

3:02	Valeria Bednarik:  We have a chance yes. Wednesday February 24, 2010 3:02 Valeria Bednarik

3:03	Valeria Bednarik:  Bernanke also stated that inflation likely to remain subdue for a time. That is no rate hike, and dollar loses as we are seong now. Wednesday February 24, 2010 3:03 Valeria Bednarik

3:04	[Comment From paul from Turinpaul from Turin: ]  Hola Val, so it's better to stay aside from euro meanwhile right? Wednesday February 24, 2010 3:04 paul from Turin

3:04	Valeria Bednarik:  Yes, Paul I do believe so. Pair has just tested the 1.3600/10 resistance area. Let's see if it manages to regained and confirm, above it, before deciding an upside continuation, Wednesday February 24, 2010 3:04 Valeria Bednarik

3:05	Valeria Bednarik:  Bernanke also sees Economic Growth Of 3% To 3.5% In 2010 Wednesday February 24, 2010 3:05 Valeria Bednarik

3:06	Valeria Bednarik:  Here is something also important: Bernanke added that Long-Term Unemployment Of Particular Concern Wednesday February 24, 2010 3:06 Valeria Bednarik

3:07	Valeria Bednarik:  Stocks are negative, pushing yen strongly up, and i do believe limiting the recovery in europeans: market is trapped between risk aversion and no bad news in the US. Wednesday February 24, 2010 3:07 Valeria Bednarik

3:07	[Comment From VitorVitor: ]  You said 1.5300 area for Eur/USD..did you mean 1.33? Wednesday February 24, 2010 3:07 Vitor

3:07	Valeria Bednarik:  Sorry Victor, mean 1.3500 Wednesday February 24, 2010 3:07 Valeria Bednarik

3:07	[Comment From studentstudent: ]  Hi Val. I think due to the relation of stocks to the USD, it is very difficult to trade the news Wednesday February 24, 2010 3:07 student

3:08	Valeria Bednarik:  It is in fact. Is better to wait a couple of 15 minutes candles and let the market diggest the news, and then took action Market will stay here for the rest of the week, month, year.. no need to trade in this particular moments. Wednesday February 24, 2010 3:08 Valeria Bednarik

3:08	[Comment From CananasCananas: ]  So he will have to increase more rates Wednesday February 24, 2010 3:08 Cananas

3:09	Valeria Bednarik:  On contrary, with unemployment high, and with current testimony, seems rates will remain in hold Wednesday February 24, 2010 3:09 Valeria Bednarik

3:09	[Comment From TamerTamer: ]  Why are major currencies rallying on bad housing numbers? Wednesday February 24, 2010 3:09 Tamer

3:10	Valeria Bednarik:  Majors are rising rather on Bernanke's comments that housing readings. Stocks are fallling yet dollar is not moving on risk aversion as yen, following them Wednesday February 24, 2010 3:10 Valeria Bednarik

3:11	Valeria Bednarik:  However, as you can see, Euro remained capped by the 1.3600 area, while Pound retreated from mentioned 1.5440 zone. Still no definitions! Wednesday February 24, 2010 3:11 Valeria Bednarik

3:11	[Comment From studentstudent: ]  Hi Val. I think due to the relation of stocks and USD it is very difficult to trade at the time of news Wednesday February 24, 2010 3:11 student

3:11	[Comment From srinivasansrinivasan: ]  whether there is chance of euro to go high from today onwards or there will be down?? Wednesday February 24, 2010 3:11 srinivasan

3:12	FXstreet.com:  Fed chairman Bernanke said last week's increase in the emergency lending rate to banks doesn't mean wider borrowing costs for consumers and companies will also rise any time soon. Wednesday February 24, 2010 3:12 FXstreet.com

3:13	Valeria Bednarik:  Will depend on daily close, yet really i do stil see it under too much pressure to regain the upside: Greece unions are back on strike against the policy proposed by the EU Wednesday February 24, 2010 3:13 Valeria Bednarik

3:13	Valeria Bednarik:  Problems spreading also to Spain, Ialy and Portugal, surely won't help the hegemonic currency. Wednesday February 24, 2010 3:13 Valeria Bednarik

3:13	[Comment From stevesteve: ]  what impact does His statment has? Wednesday February 24, 2010 3:13 steve

3:14	Valeria Bednarik:  As I always comment, only a change rate, or payrolls in the US had the real power to affect change in market. This statment as you can see, is just "noise" in the market. Wednesday February 24, 2010 3:14 Valeria Bednarik

3:15	Valeria Bednarik:  After a couple of spikes european majors are back almost to prereport levels, and turning back bearish Wednesday February 24, 2010 3:15 Valeria Bednarik

3:15	[Comment From IyasIyas: ]  Will it bullish for the Euro? Wednesday February 24, 2010 3:15 Iyas

3:16

Valeria Bednarik:  As comment above, no real bullish strike was seen as resistance levels hold the upside. i don't really see much Euro bullish reasons at this point. Stocks are falling back after opening strong, and majors are following. dollar and yen seem ready to extend gains Wednesday February 24, 2010 3:16 Valeria Bednarik

3:16	[Comment From cortocorto: ]  hello Val will usdjpy be the best pais for today? Wednesday February 24, 2010 3:16 corto

3:17	Valeria Bednarik:  If the pair loses the 89.80area, I will expect much more downside to come today, but with Japan deflation, won't expect it to last too much. Best pair will be EUR/JPY at the moment Wednesday February 24, 2010 3:17 Valeria Bednarik

3:17	[Comment From MauricioMauricio: ]  Bernanke says economy still needs low rates... Wednesday February 24, 2010 3:17 Mauricio

3:17	[Comment From TamerTamer: ]  What is your bias for the Pound at this point? Wednesday February 24, 2010 3:17 Tamer

3:18	Valeria Bednarik:  Bearish if 1.5390 gives up I would expect the pair to test the 1.5330/40 area Wednesday February 24, 2010 3:18 Valeria Bednarik

3:18	[Comment From AliAli: ]  Why pound is still struck and not rallying Wednesday February 24, 2010 3:18 Ali

3:18	Valeria Bednarik:  UK economy is also under too much pressure. After the pair lost the 1.5800 area, has been strongly bearish, and seems we are heading back to that trend in a few minutes Wednesday February 24, 2010 3:18 Valeria Bednarik

3:18	[Comment From aliali: ]  is this bad news for US dollar will turn the risk aversion traders to gold and JPY ???? Wednesday February 24, 2010 3:18 ali

3:20

Valeria Bednarik:  Not sure about gold, but to japanese yen yes probably. The currency will also be favored by the repatriation of capitals due to end of fiscal year, but as comment above, i won't expect Yen to gain too much or hold those gains in the midterm Wednesday February 24, 2010 3:20 Valeria Bednarik

3:20	[Comment From DimitriDimitri: ]  Is it at all possible that eur/usd will go down today still, after all the bad usd news and rates seemingly remaining static for a long period? Wednesday February 24, 2010 3:20 Dimitri

3:20

FXstreet.com:  Fed chairmen Ben Bernanke said the Fed expects the economy to expand by between 3.0% and 3.5% this year and between 3.5% and 4.5% in 2011. Bernanke said "most indicators suggest that inflation likely will be subdued for some time," adding that most measures show that long-term inflation expectations have remained stable. Wednesday February 24, 2010 3:20 FXstreet.com

3:21	Valeria Bednarik:  Well, in fact, majors are not going anywhere at this point. We are still in ranges, yet stocks are falling strong. I would expect yes, more dollar and yen gains as risk aversion seems to be ruling the market now Wednesday February 24, 2010 3:21 Valeria Bednarik

3:21	[Comment From cortocorto: ]  Do you think Usdjpy is the best pair to trade? Wednesday February 24, 2010 3:21 corto

3:21	Valeria Bednarik:  Try eur/jpy better for me Wednesday February 24, 2010 3:21 Valeria Bednarik

3:22	[Comment From BeratBerat: ]  I think the 4 week rule in technical analysis requires some retracement of more than 4 weeks of bearish sentiment in EUR/USD, what is your opinion Wednesday February 24, 2010 3:22 Berat

3:23

Valeria Bednarik:  Taking in such time frames, I do believe dollar is in a consolidative stage, very close to this year highs. Despite corrective movements always need to take place, I don't see any reason both for Eur and Gbp to made big gains against dollar at this point. We need to see if consolidation stage ends and to what side. Wednesday February 24, 2010 3:23 Valeria Bednarik

3:24	[Comment From SmixSmix: ]  Hello,are you more bullish or bearish for the Indices in the US?*Cause i am on Short..;) Wednesday February 24, 2010 3:24 Smix

3:25	Valeria Bednarik:  That's a great question! I do believe that last months gains there is almost a bubble. Price are way to overinflated lately, and i would expect Wall Street to fell and turn to a mre loghical level according to current situation Wednesday February 24, 2010 3:25 Valeria Bednarik

3:25

[Comment From StephenStephen: ]  Valeria, would you agree wit the notion that weather Greece is kicked out of the Eurozone or not, it is negative for the Euro? If Greece is kicked out, it opens the door for more countries in bad shape to be ejected and if it is not, more than likely the EU will put stricter accounting policies in place that will only strain already battered economies. Wednesday February 24, 2010 3:25 Stephen

3:26

Valeria Bednarik:  I do believe that Greece leaving euro zone will be the worst scenario, as people will lost all posible confidence in the euro. But I also do believe that current situation is showing as how weak the union is, and how much work needs to be done to become a real economic union. They are now paying the price of the imbalanced differences between south and north there. Wednesday February 24, 2010 3:26 Valeria Bednarik

3:27	[Comment From AliAli: ]  Is there any chance for pound to head north today Wednesday February 24, 2010 3:27 Ali

3:27	Valeria Bednarik:  Unless it manages to hold above 1.5440 i see not Wednesday February 24, 2010 3:27 Valeria Bednarik

3:27	[Comment From stevesteve: ]  is it advisable to stay out of the market during news? Wednesday February 24, 2010 3:27 steve

3:27	Valeria Bednarik:  Always for me Wednesday February 24, 2010 3:27 Valeria Bednarik

3:27	[Comment From natinati: ]  bernake is still speaking? Wednesday February 24, 2010 3:27 nati

3:28	Valeria Bednarik:  I believe so, probably answering questions Wednesday February 24, 2010 3:28 Valeria Bednarik

3:28	[Comment From yesyes: ]  does payroll decides the trend for the month Wednesday February 24, 2010 3:28 yes

3:28	Valeria Bednarik:  It had a couple of years ago, or even more. Not been happening these last months really. So my answer is tht now, is not defining trend no Wednesday February 24, 2010 3:28 Valeria Bednarik

3:28	[Comment From atat: ]  i doubt theres a reason for eur to be bull today... underlying problems still existing... Wednesday February 24, 2010 3:28 at

3:28	Valeria Bednarik:  Exactly At Wednesday February 24, 2010 3:28 Valeria Bednarik

3:29	[Comment From rogerroger: ]  what about gold Wednesday February 24, 2010 3:29 roger

3:30

Valeria Bednarik:  As comment above, seems 1100 is a tough level and wont' give up easily. Only clear under 1082 gold could lose gound and favor greenback. At this point, seems slightly bullish in the short term, with 1116 as immediate resistance area Wednesday February 24, 2010 3:30 Valeria Bednarik

3:30	[Comment From jakjak: ]  usd chf is now bullis Wednesday February 24, 2010 3:30 jak

3:31	Valeria Bednarik:  Is about to regaint he 1.0800 area, while 1.0770 capped the dowsnide as comment before the news. However needs to really break above 1.0840 to regain the bullish trend. Wednesday February 24, 2010 3:31 Valeria Bednarik

3:31	[Comment From GuestGuest: ]  gold will come down or up? Wednesday February 24, 2010 3:31 Guest

3:32	Valeria Bednarik:  Slightly bullish as comment above. watch for the mentioned levels. Wednesday February 24, 2010 3:32 Valeria Bednarik

3:32	[Comment From cindycindy: ]  comments on inflation should be negative for gold and the commodity currencies? Wednesday February 24, 2010 3:32 cindy

3:33	Valeria Bednarik:  should but inflation has not come alone this time Wednesday February 24, 2010 3:33 Valeria Bednarik

3:33	[Comment From machariamacharia: ]  whats the future of gbp/usd according to u Wednesday February 24, 2010 3:33 macharia

3:33	Valeria Bednarik:  Probably a donwside continuation in the pair for at least this week. I do still see the pair bearish midterm Wednesday February 24, 2010 3:33 Valeria Bednarik

3:33	[Comment From natinati: ]  eur jpy? short or long Wednesday February 24, 2010 3:33 nati

3:34	Valeria Bednarik:  EUR/JPY is in a bearish strong trned, and despite pullbacks or corrections, my bias is short there Wednesday February 24, 2010 3:34 Valeria Bednarik

3:35	[Comment From tomtom: ]  USDJPY 89.80 is in danger right now, what"s your target if it breaks? Wednesday February 24, 2010 3:35 tom

3:36	Valeria Bednarik:  next support in line is the 89.50/60 area, and then 89.20 zone Wednesday February 24, 2010 3:36 Valeria Bednarik

3:36	[Comment From srinivasansrinivasan: ]  hi val, i think after this bernanke testimony there wont bull for eur today???? Wednesday February 24, 2010 3:36 srinivasan

3:38	Valeria Bednarik:  well, stocks are rising, and so do majors.! Wednesday February 24, 2010 3:38 Valeria Bednarik

3:38	Valeria Bednarik:  and Euro seems ready to test back the 1.3610 area, if manages to hold above, there is still chances for more risis today. mid term, pair needs to overcome the 1.3800 area, to change current bearish perspective Wednesday February 24, 2010 3:38 Valeria Bednarik

3:39	[Comment From cindycindy: ]  can we see some squaring of position as it is month end that might take the euro and GBP higher and if so would it be a good time to buy the $ Wednesday February 24, 2010 3:39 cindy

3:40	Valeria Bednarik:  Not a bad strategy Cindy, but will depend on the deep of the corrective movement. See that euro has been unable to break under 1.3490, 61.8% retracement of the last 2009 rally. Wednesday February 24, 2010 3:40 Valeria Bednarik

3:40	Valeria Bednarik:  50% of the same rally, is at 1.3800 mentioned level. 1 Wednesday February 24, 2010 3:40 Valeria Bednarik

3:40

FXstreet.com:  Bernanke said, "By increasing the interest rate on reserves, the Federal Reserve will be able to put significant upward pressure on all short-term interest rates. Actual and prospective increases in short-term interest rates will be reflected in turn in longer-term interest rates and in financial conditions more generally." Wednesday February 24, 2010 3:40 FXstreet.com

3:41	Valeria Bednarik:  So as long as under that zone, but above 1.3490 seems we are in a consolidation stage. Wednesday February 24, 2010 3:41 Valeria Bednarik

3:41	[Comment From EugeneEugene: ]  Valeria, what impact does Bernanke have on Gold prices? Wednesday February 24, 2010 3:41 Eugene

3:41	Valeria Bednarik:  Gold reaction is a consequence of dollar reaction, as if dollar falls, golds tends to rise. Wednesday February 24, 2010 3:41 Valeria Bednarik

3:42	Valeria Bednarik:  yet as comment above, gold won't break easily under 1100 Wednesday February 24, 2010 3:42 Valeria Bednarik

3:42	[Comment From richaricha: ]  eurusd intraday - best pair to come in? short or long? Wednesday February 24, 2010 3:42 richa

3:43	Valeria Bednarik:  Richa, I would wait for a confirmation either above 1.3610 or under 1.5330 to decide that. We are approaching to the top Wednesday February 24, 2010 3:43 Valeria Bednarik

3:43	[Comment From m17m17: ]  if all major currencies are at risk/ uncertain, USD will be a safer place compare to the rest. Am I right? Wednesday February 24, 2010 3:43 m17

3:44

Valeria Bednarik:  Dollar and Yen, have been always considered safe havens.. safer places as you say. When investors have too much uncertainty about other countries economies, yes, they tend to buy US Treasuries, considered almost 100% reliable investment despite low rates payed. Wednesday February 24, 2010 3:44 Valeria Bednarik

3:44	[Comment From rajeshrajesh: ]  eur / usd is going north :) Wednesday February 24, 2010 3:44 rajesh

3:45	Valeria Bednarik:  Yes Dollar is losing ground quickly as stocks erased almost all previous loses. Let me see what triggered this confidence in the market Wednesday February 24, 2010 3:45 Valeria Bednarik

3:46	Valeria Bednarik:  Bernanke Says Stimulus Did Help Job Situation Wednesday February 24, 2010 3:46 Valeria Bednarik

3:47	Valeria Bednarik:  Current reaction is probably due to his testimony regarding employment, and seems majors are ready to extend the upside from here Wednesday February 24, 2010 3:47 Valeria Bednarik

3:47	[Comment From cindycindy: ]  according to the comment above on interest rate,isn't he indicating that rates are rising? Wednesday February 24, 2010 3:47 cindy

3:47	Valeria Bednarik:  No Cindy, that rates will remain the same. He actually afirmed that. Wednesday February 24, 2010 3:47 Valeria Bednarik

3:47	[Comment From EugeneEugene: ]  Valeria, when we see a rallying currency, is it possible to foresee the moment the rally like we're seeing now ends? Wednesday February 24, 2010 3:47 Eugene

3:49	Valeria Bednarik:  Taking notice that nothing is 100% certain regarding forex, we have alot of tools to help us with that: oversold/bought indicators, Fibonacci retracements, ect Wednesday February 24, 2010 3:49 Valeria Bednarik

3:49	[Comment From cindycindy: ]  if we can break the 1.5440 area in the cable where is your next level on the topside,please? Wednesday February 24, 2010 3:49 cindy

3:49	FXstreet.com:  We are short of time, let's go for the last question! Wednesday February 24, 2010 3:49 FXstreet.com

3:50	Valeria Bednarik:  1,5480 and above 1.5520/40 area Wednesday February 24, 2010 3:50 Valeria Bednarik

3:51	[Comment From LemyLemy: ]  Do you think USD/JPY could have a strong comeback ? Wednesday February 24, 2010 3:51 Lemy

3:51	Valeria Bednarik:  Not easily strong as capped by 90.20/30 area for the past days. Watch taht level to the upside to confirm furhter rises. Wednesday February 24, 2010 3:51 Valeria Bednarik

3:54

Valeria Bednarik:  As always, has been great being here with all you guys. Tks for being here, tks Fxstreet.com for giving us this space; watch stocks ready to break today's high; they are leading the way today, and further upside there and in gold, will probably signal a bearish continuation for dollar, at least today. Wednesday February 24, 2010 3:54 Valeria Bednarik

3:54

FXstreet.com:  Dear all, we have to wrap up this live coverage. Bernanke keeps on with his testimony which is being broadcast now Live on the cnbc. We will let you with last Bernake's words: the Fed has the ability to try and get credit flowing in order to support more job growth. He notes credit to small businesses would support more job growth. Wednesday February 24, 2010 3:54 FXstreet.com

3:54	Valeria Bednarik:  See you also back soon and thanks! Wednesday February 24, 2010 3:54 Valeria Bednarik

3:57	FXstreet.com:  Thanks Valeria! and thanks to all the traders gathered here today. You can keep on following the breaking forex news on Fxstreet.com's homepage. Next Live coverage will be on Friday at 13,15 GMT for the US GDP right from the homepage too. Wednesday February 24, 2010 3:57 FXstreet.com

3:57	FXstreet.com:  See you on Friday! Wednesday February 24, 2010 3:57 FXstreet.com

3:57

 

 

Update on Globalization 3.0: Credit Purge Era and Transition to the New Normal

Expert: John W O'Donnell, Chief Knowledge Officer at Online Trading Academy
Moderator: Maud Gilson, Conference Manager

Summary:

John covers a variety of topics including:
- Surviving the globalization 3.0 bear market,
- Comparison of the last 12 month global economic metric and first 12 months of 1929-1930 crash,
- Protecting your capital in the deflation ahead,
- Why deflation is the major risk ahead and not inflation and how gold will perform,
- What is the Baltic Dry Index telling us about global demand destruction and deleveraging,
- Adapting your trading/investing plan in this new credit purge era.

The Dollar Link

Expert: Joseph Trevisani, Chief Market Analyst at FX Solutions
Moderator: Maud Gilson

Summary:

The American job numbers were a dose of unexpected positive news. Payrolls shrank by only 11,000 in November, far less than the -125,000 most economists expected. It was the best reading in over two years. The unemployment rate also improved dropping 0.2%, to 10.0%, also unpredicted. The 11,000 reduction in payrolls was a number small enough so that the Bureau of Labor Statistics officially considered the payrolls unchanged for the month. The US economy may well have produced jobs in November when the revisions are calculated next month.

The dollar index gained 1.7%; the yen depreciated the most against the dollar since 1999; the euro dropped more than two hundred points. Gold fell hard from its record high; Treasuries sank farther than any day since the summer and the Dow gave back most of its 150 point gain after reaching a new high for 2009.

For many traders the reaction was a simple measure of profit taking with the added incentive of proximity to year end. If the US economy is really on recovery stocks will not sell off; gold will and Treasury prices will decline. If the dollar moves higher commodities will lose some of their trading luster. These are rational trading reactions to an improving economy and a rising dollar.

The anomaly has been dollar itself. Since March the currency markets have been punishing the greenback whenever risk falls and rewarding the dollar when risk rises. This has produced the odd and illogical equation of poor US economic results generating a strong dollar and the reverse.

The Dance of Debt--China and the United States

Expert: Joseph Trevisani, Chief Market Analyst at FX Solutions
Moderator: Maud Gilson

Summary:
When yields on the 10 Year Treasury note were climbing to 4.0% last spring bond traders fears were focused three items: the Federal Reserve’s liquidity provisions, the Obama administration’s ten year deficit projections and the inflationary potential of both programs. The collapse in Treasury prices prompted the Fed’s entry into the Treasury market. Its $300 billon program to purchase government debt led to suspicions that the US Government had embarked on direct monetization of its debt, printing dollars to make up for the revenues it no longer had.

Chinese officials warned the US government to be mindful of its status as the world's largest holder of US debt and cautioned Washington to act as a careful custodian of its currency. But rhetoric aside, the Chinese had reasons of their own to fear what would have been a dangerous fall in the Treasury markets and the consequent rise in American interest rates.

The End of the Dollar Asset Bubble

Expert: Joseph Trevisani, Chief Market Analyst at FX Solutions
Moderator: Maud Gilson

Summary:
From last September until March the dominant currency trade was a direct kin to the panic in the financial markets. When in doubt purchase dollar denominated assets. A huge bubble of Treasury assets were bought with foreign and domestic money. As the crisis rolled on, even though it had started in the US, involved many of the most prominent United States financial institutions, and called forth an unprecedented amount of government intervention and a deluge of dollar liquidity, nothing dented the dollar's ascendancy. Compared with the potential for the rest of the world the United States was the safest holder of wealth. How long will it take to unwind this asset bubble and what are the consequences for the dollar?

The Unwinding Of The G-8 Consensus

Expert: Joseph Trevisani, Chief Market Analyst at FX Solutions
Moderator: Maud Gilson

Summary:
China and the G-8 Or What to do When Your Banker Says No

The origin of the Group of Eight was an invitation from French President Valery Giscard d’Estaing in 1975 to six of the major World War Two combatants to meet at Rambouillet in France. Leaders from West Germany, Great Britain, Italy, the United States, Japan and France attended that first meeting. The impetus to the summit, if not the sole topic, was the first post war economic challenge to the west, the 1973 OPEC oil embargo. In 1976 Canada was invited to join and the group stayed at seven until 1997 when Russia formally became a member.

Why relate this history? The nations of the Second World War consensus that have dominated the world for 60 years are close to bankrupt. Their bankers are now calling the shots; those who pay get to decide the future.

Updated 2009 Markets Forecasts - Perception vs. Reality in the Globalization 3.0 Credit Bubble “Deleveraging Purge”

Expert: John W O'Donnell, Chief Knowledge Officer at Online Trading Academy
Moderator: Maud Gilson, Conference Manager

Summary:

Mr. O’Donnell will cover different topics in this webinar:

• Why the global bear market is not finished
• Why the global economic metrics last 12 months are worse that first 12 months of 1929-1930 crash
• How to protect your capital in the deflation ahead
• Why the major risk ahead for all assets is deflation not inflation
• What is the Baltic Dry Index telling us now about demand destruction

The Green Revolution?

Expert: Joseph Trevisani, Chief Market Analyst at FX Solutions
Moderator: Maud Gilson

Summary:
Several confidence measures in the United States have returned to the levels they held before the great financial collapse last fall. Do they presage an impending economic recovery?

US Consumer Confidence readings from the Conference Board and University of Michigan have pulled out of their deep post September troughs. The same is true for the Institute for Supply Management’s (ISM) manufacturing and services surveys. But these forward looking sentiment statistics contrast markedly with measures that gauge actual economic commitments. The performance of the consumer and manager is much at odds with what they say is their economic view.

EXTRA: You can read Joseph's Market Directions report about the same topic: "The Green Revolution".

How to Survive and Prosper in 2009 Credit Crisis

Expert: John W O'Donnell, Chief Knowledge Officer at Online Trading Academy
Moderator: Maud Gilson, Conference Manager

Summary:

We will explore why the global credit crisis was created and why the US Fed rate cut programs are anemic to cure it. Other important questions will be covered as:

• How to profit in 2009 by short selling specific assets.
• What roles will gold play in 2009 as safe haven vs USD Tbonds?
• Why the new President’s stimulus program will not work as proposed?
• Will America look more like the 1930s or 1970’s economic crisis?
• Is capitalism dead in USA?

We will explore using new ETFs that enjoy bull and bear position with 3x leverage.