Friday, 23 December 2011

EURUSD ready to fall?.....part two

EURUSD is moving along the blue line support.....Being highly correlated with SPX, the last few days we see the pair underachieving relatively to the US index. I believe that either the euro will break down and spx will follow or we are about to see a huge rally in eurusd. The support is very close and could be used as a stop reverse point. My most probable scenario is that spx topped yesterday or will do today and both will start a decline after the holiday weekend. Things in eurozone haven't changed a bit and spreads continue to rise. The first big country downgrade is close....but we have to be patient....Back to eurusd, the recent sideways movement looks corrective and that is another point in favor of the bearish scenario. Follow me on twitter for more updates and comments regarding the eurusd intraday movements.

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