EUR/USD looking for support below.
The EUR/USD (ERO) pair fell during the session on Monday, showing that there is still a significant amount of resistance between the 1.14 level and the 1.15 level. At this point in time, we recognize that the market might pull back a little bit from here, but at the end of the day, we like the idea of buying calls below. It is not until we break below the 1.10 level that we would actually consider selling. In the meantime, we remain very bullish of the Euro.
S&P 500 breaking out to fresh new highs.
The S&P 500 (NASDAQ:SPX) initially fell during the session on Monday, but found enough buying pressure underneath to form a positive candle. With that, we feel that the market should continue to go much higher, and given enough time we believe that 2200 and the target. However, what we will look for our short-term pullbacks on short-term charts in order to start buying calls again. We have no interest in buying puts. We believe that the 2125 level being broken is a longer-term bullish sign.
Gold market is quiet volatile
Looking at the gold markets (GLD), even though we had a bit of trouble during the session on Monday, the market pulled back and forth in both directions in order to show quite a bit of volatility. However, we feel that the market is one that you can only buy calls in, and therefore we will continue to do so and aim for the $1300 level.
