Markets are reacting negatively to the news about Cyprus, but (so far) we dont witness any signs of panic as many have feared.
Overall we see risk aversion with EUR/USD down to around 1.2950 from 1.3070 on Friday. The DAX is down 1%, Spain and Italy 2% and premarket the S&P futures are down by about 1%. In the commodities universe the picture is mixed, with Gold being strong and oil weak.
The next days and even hours will be very telling.
Here is an update of the trend signals given the latest market activity.
Trend signals from the daily charts for the nearest futures:
EUR/USD – Strong Sell
S&P – Buy
DAX – Buy
Eurostoxx50 – Buy
Gold – Neutral
Silver – Strong Sell
Crude Oil – Sell
Always use stop loss orders to protect your capital when trading.