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FXstreet.com (Barcelona) - Mark Chandler, global head of currency strategy at Brown Brothers Harriman, remarks three important points investors should be taking into consideration on their trading strategies.

Firstly, Marck mentions how the European debt crisis is spreading outside of the periphery. "Greece, Ireland and Portugal are no longer singled out, as the spreads between Spanish bonds and German bonds, between Italian bonds and German bonds have been widening, and these two are the large countries", which implies that trading the Euro at lofty levels - may prove to be a dangerous consideration.

Secondly, concern about the British economy have resulted on a vulnerable Pound, as consumer spending is weakening as a proxy for retail sales, says Mark. Besides, "the Bank of England's Monetary Policy Committee has already begun talking about another round of asset purchases. British pound now for the first time since early this year is below its 200 day moving average that should be now act as resistance around 1.6030-50" the analyst adds.

Thirdly, "the S&P 500 vs Yen correlation has been weakening, so no longer can we just trade the currency based solely on the stock market direction. So, Japanese yen is getting harder to trade for the risk on risk off investor, as the yen and its US stock market correlation becomes temporarily decoupled" Mr. Chandler comments.

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