Bernanke will be speaking at 12:00 GMT today amidst controversy surrounding funding issues for the two major mortgage lenders in the US regarding funding issues. We saw how the Dollar retreated in the NY session as equity markets sold off sharply as Freddie and Fannie lost 20% in value

If we have a closer look at the technical climate, it seems that the move yesterday was only a much needed and healthy pull back for the Greenback

Herewith the Probability Studies for Today:

EUR/USD – Bearish Trading Condition. Price could not breach the previous bullish 60minute trend’s channel and therefore we used the 1.5753 high as a lower significant high for the new bearish 60minute trend. As long as the 1 hour indicators stay bearish we will have a great bearish trading condition. Keep and eye on the 1.5611 low as price can bounce on this support

USD/CHF – No Trade Zone within a Bullish Probability. As soon as the 1 hour indicators cross bullish the bullish trading condition will resume. The new bullish 60minute trend is still intact although it’s still in the process of evolving

GBP/USD – Bearish Trading Condition. The bearish 60minute trend is still intact and as long as the 1 hour indicators remain bearish the bearish trading condition will stay intact. Keep an eye on the 1.9680 support as well as 1.9648 low as these can prove significant

USD/JPY – No Trade Zone within a Bullish Probability. Price is converging with the bullish 60minute trend support line as a bounce accompanied by bullish 1 hour indicators will give us a trading condition. Should this support be taken out, then we would have a bearish trading condition.

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