Longer term, I believe the USD will strengthen in the medium term being the first several months of 2009. Going into this week it is hard to tell however where the USD will go in the first full week of 2009.

It is said that in equities (stocks) the first week of January usually reflects what we should expect for the year. It is not as clear-cut for currencies. However the first few weeks usually do reflect how the balance of the first quarter will go. Overall we are certainty going to have continued high volatility so opportunities will certainly be available.

Hi folks.

I won't be posting now until the New year. All the best for the season and have a prosperous 2009.

Last week I was suspect the Dollar was going to weaken some. We did the CAD and the EUR gain throughout the week. Will this now be the trend for the month? And if so, will the lagging currencies such at the GBP catch up?

We had quite an event on Friday with dismal numbers out of the US. One would normally surmise this should equate into a weaker Dollar. However the opposite is still happening. Sooner or later the Dollar should loose favour when risk appetite returns however this is not yet evident. use caution as long as the USD is caught in it's range.