ForexLive's  Instablog

The yields are a touch lower in the Spain. In Italy, the yields are down a little more as the 10 year yield is now below 6%.

The EUR/USD (FXE) sits in a very narrow range (43 pips) as traders await the weekend fireworks from the Greek election. Central bankers have publicly expressed that they are ready, willing and able to provide liquidity if and when it is need. Risk may be elevated. Volatility for now is not.

The price is currently testing the bottom trend line in the corrective channel on the hourly chart. The bottom trend line comes in at the 1.2603 currently (and moving higher). The low for the day is 1.26055 so far. The close from yesterday 1.26305 (bearish for the day). A break of the trend line will next target:

• 1.2586 - Lows and highs from yesterday
• 1.2567 is a better target. Equals the 38.2% of the move up this week
• 1.2543-45 - 50% of the move up and 100 hour MA
• 1.2535 - 200 hour MA

I expect a rotation down today but with market activity light, a holding or failure below the trend line would target 1.2623 (Jan 13 low), 1.2630 (close from yesterday), 1.2645 and 1.2666.\

http://www.forexlive.com/blog/2012/06/15/242324/

Gold (GLD) has been benefiting from the simple notion that "it can't hurt to be long gold?" attitude. The price is up for the 5th straight day but has a key test to overcome. The 38.2% of the 2012 range comes in at the 1627.22. Above that is trendline resistance at 1631.50. The combination is a key test for the bulls enthusiasm and it seems that sellers have used the level to cover some positions.

http://www.forexlive.com/blog/2012/06/14/gold-inches-higher-for-the-5th-day-but-tests-38-2-retracement-target/

The EUR/USD (FXE) seems happy to sit and wait, but such action does not last forever. So be aware and prepared. The range today has been a pathetic 48 pips. Ranges in all the currency pairs are low (in relation to 20 day averages - see chart). There is plenty of room for an extension at some point today. Look for a break and momentum.

The high today in the EURUSD 1.2588 the low is 1.2540. The price sits in the middle currently. The price is above the 100 hour MA at the 1.2529 currently. Channel (bull flag) levels come in at 1.2582 on the topside with the downside target is at 1.2532 - just above the 100 hour MA (at 1.2529). Not far below that key area, is the 200 hour MA at 1.2518.

Other levels to consider today:

Above:

• 1.2609 = High from yesterday
• 1.2623 = Low from January 2012 (low for year before the level was broken in May)
• 1.2667 = 38.2% of the move down from May

Below

• 1.2498 - Close from last Friday
• 1.2472 - Low from yesterday's trade
• 1.2434-41 - Series of lows going back to June 6th

http://www.forexlive.com/blog/2012/06/14/eurusd-waits/