Euro Reversing?

Posted on: September 27th, 2009

Last week we saw the pound doing some diving, will this week be the euro’s turn?  We think that there is a high probability of this happening. Right now the Euro is still in the 1.46-1.48 range but if it breaks the kumo, the next resistance is around 1.44. You can see on the monthly chart that the euro fell out of its longterm channel and now has come back to test it.

ichimoku-chart

ichimoku-chart

It’s likely also that the S&P and Gold are coming down very soon as well, this will help our short move on the euro:

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