Spread bets and CFDs on the spot forex market should consider that the euro is recovering today. While questions about a possible intervention a couple of days ago have yet to be answered, it does seem clear that recent events in Germany are helping the euro.

Indeed, the German Parliament in Berlin approved some short term relief for the sovereign debt crisis wracking Europe right now. With that hurdle cleared, many feel that the euro zone can begin moving toward recovery. 

Also helping is the news that employment increased in the U.S. in the month of April. Signs of recovery, even though they are small, are providing help for the euro in forex trading. Risk appetite is making a cautious appearance and that is allowing forex traders to move away from the safety of the U.S. dollar.

Yesterday, the euro found some support in spot forex trading, rallying a bit against the U.S. dollar. After months of struggles, especially in the last couple of weeks as the sovereign debt situation has blown up, the euro found some support.

But speculation is beginning that someone intervened to help arrest the euro's fall on the spot forex market. Concerns about the $1.20 -- and maybe even parity -- could be prompting action to keep the euro zone from falling apart.

However, argues GFT's Kathy Lien, it may not be the European Central Bank that was responsible for an intervention on behalf of the euro. If there was an intervention, she asserts in FX360, perhaps it was the Swiss National Bank:

According to recent data detailing Switzerland’s foreign exchange reserves, the central bank sold CHF28.7 billion, more than double the intervention in February and March and in excess of the previous record of CHF24 billion from last June.  If the ECB were to intervene in the currency market, they would probably not be subtle because the point is to shock the market and not to keep them guessing.

The rally for the euro in forex trading yesterday was gradual, and more of a support -- the work of subtlety. At any rate, today a lot of the support is disappearing as news of differences in how to handle the European debt crisis emerges from euro zone member states. Additionally, concerns about the U.S. employment situation are causing risk aversion, and the euro is once again losing ground.

The euro is in the process of collapsing in forex trading today. Spread bets and CFDs on the euro in spot forex trading should consider the implications of the problems besetting the euro zone right now.

With sovereign debt concerns weighing on the euro zone, it is little surprise that the euro is falling to four-year lows. Indeed, the euro is well below the 1.25 mark against the U.S. dollar. With debt concerns plaguing euro zone member states, and concerns about mounting debt for the European Union, it is little surprise that traders are fleeing the euro in spot forex trading.

Until the situation can get under control, the U.S. dollar is likely to retain its strength against the euro in forex trading.