An excellent forex trading session with Anna and David of Quantum Trading, as Europe opens and followed by London. The focus this week was on the euro and the pound, with Anna tracking the GBP/USD as strong pound buying is counterbalanced by US dollar selling, but as always with an eye on the London open where reversals are always likely as this major centre opens for the trading day. One to watch at present is also the Swiss franc, not only for safe haven flows but also as result of the problems in Italy and the Italian banks, with many moving their cash across the border and into Switzerland as a result, so selling euros and buying the franc, so one to watch over the next few days and weeks.

The euro aussie is always an interesting pair to trade through Europe and into London as the strong cross flows from the Southern Hemisphere then meld into the European currency markets. The currency strength indicator flagged this brilliantly with the euro rising strongly on the faster timeframes, and the Aussie dollar being sold with equal strength and so building a great trend higher. The currency array confirmed the sentiment for the Aussie dollar with the currency heatmap then confirming the longer term bearish sentiment for both the Aussie and New Zealand dollar.