July 8th, 2008

The foreign exchange market is showing signs of higher than normal risk today as the best trade opportunities thus far for the week have occurred in early Asia and European trading on Monday, while the US session on Monday saw a dramatic reversal of the intra day trend as the US dollar was broadly sold.

Sentiment is very mixed as to where the US dollar goes from here, as this and the lack of any significant data is only adding to the higher than normal risk environment of the intra day market.

Monthly and weekly studies favor US dollar weakness, however, the 1,2 and 4 hours charts are mixed as are the 15 minute and 30 minute intra day charts.

Currently, the intra day charts are attempting to establish a intra day trend favoring US dollar strength, but this has yet to be confirmed. So, for now, it is best to stand aside until better trade opportunities confirm.

We will have more updates as needed.

Forex Signals Plus