Durable Goods Comes Out Better Than Expected Yet USD Weakens??
Well if today didn’t prove how useless fundamental analysis ON ITS OWN is then I don’t know what will prove the folly of fundamental analysis to you!
This morning we had the Durable Goods orders figures released BETTER than expected at 1.9% (the market seemed to be expecting a figure of around 1.5-1.7%). With the Durable Orders MUCH stronger than the previous month AND better than what the market was expecting the USD ended up weakening against the majors!!
You figure it out?!
But what did the charts show? Well, as per the previous post the EURUSD was *right* on the lower trend line of the upward trending channel.
I was expecting a break – due to my basic understanding of fundamental analysis – and we ended up getting a BOUNCE.
So, the lessons you should have learnt from this experience should have been: Don’t get emotionally attached to fundamental analysis – regardless of what *you* think might happen remain flexible at all times.
Tags: Forex Trading