Currency Markets 2/3/2008

The Currency Markets look like they are becoming choppy. Tighter stops are needed to protect profits.

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EUR/USD - It looks like the EUR is having problems breaking thru the 1.49 area and may need to back off one more time. We arre long from 1.4700 with a stop at 1.4725. We will consider reversing when it is hit.

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AUD/USD - The Aussie is trading a lot better. We are long from 0.8800 and will place the stop 0.8844 for now. We will consider reversing if hit.

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GBP/USD - I have not done well on the Cable with this bounce. After taking out nearly 1000 pips on the last trade, I have found it hard to get back in. The decline on Friday was massive. We will watch the action for now.

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USD/CAD - The USD/Loonie has been the easiest of currencies to play recently. We are short from 1.0190 with a stop at 1.0144. I want to make it lower with a reverse stop but will wait a couple of days first.

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USD/JPY - I am frustrated that I had the stop just a little too close. I think the USD/Yen will bounce around for a while before going in either direction.

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USD/CHF - We are still nicely short the USD/Swiss Franc from 1.1400 with a stop at 1.1000. The bounce on Friday was very big. Odds are we will get stopped and will consider going long at that time.