Trading Video: S&P 500 Rally Cools and EURUSD Offers a Dollar Break

Talking Points:

• The heady global equity rally stalled before trend were reconsidered and other markets confirmed 'risk on'

• A range of breakout patterns are showing up from EURUSD to USDJPY to NZDUSD, but what about follow through

• Event risk ahead may successfully revive Euro trend, but the Dollar will be tough to motivate

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Just when the US equity market was hitting its stride, bullish conviction has stumbled. This derailment has occurred just before serious questions arose about reviving the long-term Dow and S&P 500 bull trends. Furthermore, the break in feverish optimism for stocks struck before it had a chance to spread to other asset classes. Investor confidence is once again left adrift with the hangover of the early October deleverage still blurring sentiment. Moving forward, the ebb and flow of risk trends remains a prominent and potent enough theme that it deserves are respect even if it may not find many blatant cues. Meanwhile, there is plenty of scheduled event risk to stir the likes of the US Dollar, Euro, Pound, Yen and others. The question is whether it is enough to leverage bigger themes or at least distract from them. We look at risk an the majors in today's Trading Video.

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