Trading this week

The US debt ceiling is still an issue between the Democrats and Republicans with none of them willing to compromise. The deadline for the agreement is 2nd August next month. This will be an event to watch as it affects the volatility of the currencies.

On the other hand, the EU agreement that is supposed to help out Greece with its bail out plan has not moved the market as i thought it would. It was a clear indication of buy the rumor sell the facts as the currency is now trading at a minor lower top of 1.4440.

Back to technicals,most of the pairs have moved lower which include the Cable is now trading lower as is the GBP/JPY(the Dragon) coming off  resistance at 128.16 and the trend line from April 28th this year.