Daily Forex Markets Analysis (3/3/2013)

Read about the Bollinger Bands Trader indicator here.

Main idea from the above is that a temporary correction against the US Dollar is expected following its strength.

EURUSD :has bounced after hitting the bottom BB level and is slightly moving up, possibly as a correction since the pair is moving lower.  We can see the Bounce position to increase slightly during the last 3 periods and so does its volatility.

GBPUSD: has been showing an increased volatility as the pair has been moving lower and lower as it has been constantly under the lower Bollinger Band without a bounce having occurred yet. This could mean the pair could penetrate the lower band again and move lower.

USDCHF: has been moving higher and higher as shown by the increased volatility in the size of the bands length , and the position being above the 100% top band. It is expected that a bounce will occur now and the pair will move lower.

The following is an analysis of the currency markets using the Bollinger Bands Trader system . You can read about the system here. Please read our Risk Disclosure and Terms of Use  prior to making a trade using this information.