Morning price action

The Pound seems to have lost some steam and is now looking to trade lower against the dollar since yesterday.It is also looking lower against the Yen which broke a major support area yesterday and is poised for 128 in the near future. However,there has been very little movement in the market for a while now as capital is still sited on the sidelines waiting for better opportunities.

Most pairs are also looking weaker against the Yen as its intervention by the Government did not yield the results they had been hoping for.They increased their asset purchase programme in the hope of creating a weaker yen as they had done before that saw the Usd/Jpy shoot up from the 77 to 84 area earlier in the year. For the short term, i am bearish on most yen pairs as I continue to watch for any events that may point otherwise for the long term .
The Euro seems seems to be trading stronger this week against most pairs and could be in a minor correction from last weeks price action.The Euro area is still under a lot of pressure with the downgrading of Spain and its rising unemployment as well as the strong resistance by the major countries towards bailouts for weaker countries.We are also watching the French election which may be a mover of price action especially since Nicolas Sarkozy is trailing his opponent from the socialist party.Lets continue to keep an eye on this events as they unfold.
 The RBA has just cut its interest rate by up to 50 basis points which is 25 basis points more than the expected cut this morning and has seen the AUD lose value against most currencies across the board. I will continue to follow this events and take care that my trades are not negatively affected by such events.
Good luck trading !!!!