The EUR/USD is flying, bolting through all three of our downtrend lines after bouncing off our previous 1.2987 support.  Investors came in defense of 1.30 with serious volume.  The currency pair is presently testing April 24 highs and it appears to have more room to run should today's data from the U.S. come in positively.  The EUR/USD's considerable strength is rooted in better than expected earnings from Spain's Santander, the EU's largest bank.  Since we are in a financial crisis, positive earnings from banks can be a real driving force.  However, all bets are off until the currency pair can plow through April 24 highs towards April 13 highs.        

The USD/JPY is at a standstill after yesterday’s banking holiday.  The volume in the currency pair has been subdued as investors await the Prelim GDP data from the U.S. today, followed by Japan’s Prelim Industrial Production number in the evening PST.  The USD/JPY is sitting at a key juncture, the inflection point of our 1st tier downtrend and 2nd tier uptrend lines.  Therefore, we expect the USD/JPY to awaken with all of the incoming news.  

The EUR/USD is flying, bolting through all three of our downtrend lines after bouncing off our previous 1.2987 support.  Investors came in defense of 1.30 with serious volume.  The currency pair is presently testing April 24 highs and it appears to have more room to run should today’s data from the U.S. come in positively.  The EUR/USD’s considerable strength is rooted in better than expected earnings from Spain’s Santander, the EU’s largest bank.  Since we are in a financial crisis, positive earnings from banks can be a real driving force.  However, all bets are off until the currency pair can plow through April 24 highs towards April 13 highs.         

Gold is popping back up to the all-important $900/oz level in reaction to a worse than expected Prelim GDP number from the U.S.  Investors are opting for risk-averse investments today, though not to the extent one would expect after such a negative data release.  The wild, unpredictable behavior of gold continues with investors uncertain which side of the trade to commit to.