Looking at the Thursday session, the Initial Jobless Claims out of the United States is probably by far the most important announcement in what would otherwise be a fairly quiet session. The Philadelphia Fed Manufacturing numbers also come out, so in general we think that this market will be very attentive to the US dollar and US stocks in general.
Looking at the EUR/USD pair, you can see that we fell from the 1.14 level yet again, and it looks as if the market is going to remain fairly tight. Because of this, we are looking for put buying opportunities on short-term charts as that is about the only thing that is feasible at this moment. We do not look for longer-term moves, but if we did break down below the 1.13 handle, we feel that the market then will head to the 1.11 level. Above current areas is a massive amount of resistance at the 1.15 handle.
The S&P 500 struggled at the 2100 level and fell for the session on Wednesday. By doing so, it shows that there is a significant barrier in that area, and that supportive candles could be bought. Calls are the only way to go in this marketplace, either on the supportive candles or a move above the 2100 level. We are bullish of the S&P 500 and think that it will break above 2100 without too many issues, just that we need to build a little bit of momentum in the meantime.
The silver markets fell slightly during the session on Wednesday, which is a massive improvement over the freefall that they had on Tuesday. Because of this we feel that the market is trying to find support in this general vicinity, and see potential for support all the way down to the $15.50 handle. That is an area that is massively supportive, and as a result we are looking for some type of supportive candle between here and there to serve buying calls in what is a very interesting set up.