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U.S. Equities Post Strong Gains on Renewed Interest in Higher Yielding Assets

Discussion in 'Forex Daily News & Outlook' started by futuretrends24, Feb 17, 2010.

  1. futuretrends24

    futuretrends24 New Member

    Apr 30, 2009
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    Today’s sample of Futures Analysis from FuturesHound.com

    Confidence that the Greek budget deficit problem may be improving helped to drive up demand for risky assets. This helped to boost U.S. stock indices. Traders were also becoming more confident about improvements in future corporate earnings because of the recent improvements in the economy. The strong rally in the March e-Mini S&P 500 has put this market in a position to test a key retracement area at 1094.50 to 1107.00.

    Technical factors may have driven up demand for March Treasury Bonds. A successful test of a key 50% retracement price at 117’01 triggered a strong short-covering rally. Upside momentum could trigger a further rally to 118’24 before new selling comes in. Investors do not expect too much upside activity because of the growing U.S. budget deficit and huge supply of bonds in the market.

    Increased demand for higher risk assets and thin, narrow trading helped boost April Gold and April Crude Oil. The weaker Dollar was the biggest contributors to the rallies in these two markets.

    Read full article at full article at FuturesHound.com as well as Futures Analysis, Futures Education and exclusive timely market Gann Analysis

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