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Euro Lone Wolf? Or Wolf (Not Bear or Bull) Market?

A very slow session of Asian trade started a fairly slow week of economic reporting, that wraps up one of the lowest-level months of global market volume seen in decades. 
The major pairs tested Usd support ahead of the European equity open, and then trod water as speculative interest weighed the benefits of making a break out. Forget bull or bear market, the new-generation markets also have a Wolf market outlook; one that is capable of quickly changing course and making the most out of limted offerings.

Without the obvious support of the global market signaling which side of risk momentum will be on Monday it is a coin-flick in regard to where the major pairs break in early trade. Gbp/Usd has re-cycled higher to test 1.5600, and is now at a pivotal price area that will be closely monitored.

Usd/Cad has consolidated the moves higher from Friday. Just like  Gbp/Usd, cad is now at a very important area that a move either way could be just as easy to make, with  a break of 1.0450 or 1.0550 likely to set the tone for the week.

Usd/Chf and Usd/Jpy are both absorbing recent Treasury market moves, and both look a little lost, yet volatile, in the near term. It is very clear that Eur/Usd is attracting attention from those looking at the threat of further debt/growth revaluations in the Euro-zone, and that sentiment is strong enough to hold the pair lower.

There is a wall of upside resistance that will contain any bullish moves at least until a Daily chart close above 1.2850 is seen. Short-euro trades do not have the support of overall major pair weakness against the Usd, and euro will have to initially go it alone against the dollar, at least until equity markets show that they are ready to be sold on the next leg lower to test 1050 on the S/P.

Disclosure: None