Plethora of mid-level announcements

Looking at the upcoming Friday session, there are a plethora of mid-level announcements. With that being the case, we believe that there could be a little bit of volatility, but at the end of the day we think that the technical analysis will probably leave the way as Flash CPI out of the European Union, Canadian GDP, and Chicago PMI all take center stage, ultimately though the markets should continue to go in the same direction that they have been for some time.

Gold looking to break down

Silver markets fell during the course of the session on Thursday, and if we can break below the $1180 level, we feel that this market should then go down to the $1050 level below. We have formed a pennant, which of course is a consolidation area that should eventually break down. Even if we rally from here, we would be looking to buy puts above as the market is so bearish.

FTSE rallies, but runs out of steam

The FTSE rally during the session initially during the course of the session on Thursday, testing the 6700 level. We pulled back to form a shooting star, so we could get a little bit of a pullback in order to build up momentum. Ultimately though, we believe that the market should go higher on a supportive candle, or better yet, break above the 6700 level. We be buyers of calls in both circumstances.

GBP/USD continues the sideways move

The GBP/USD pair tried to rally during the course of the session on Thursday, but ultimately failed again. It appears of the market is hanging about the 1.56 level, and it looks like we could very well pullback from here and head towards the 1.55 handle. Ultimately, if we break down from here, we would be put buyers for short-term moves to that level. We believe that a move above the 1.57 level should be call buying opportunities as we would be breaking out.