EUR/USD, free fall continues!
As I wrote in my EUR/USD analysis from March 04., after the pair broke 1.1100, next target could be 1.0760/90, the low from August 2003., this is what happen. Not only that the pair catch this level, it broke it and reach a low at 1.0734! It looks that there is no end for EUR/USD fall, the next target could be the low from April 2003., at 1.0550/70. I can’t call this levels support any more, they are just targets, because the pair don’t stop at those levels, just went true them. As I wrote earlyer, it looks like euro is dead and there is no buyers in sight!?
Euro for sale or rent:
Welcome to the New Yen or Euren. It is the new funding currency with the added feature of not being risk adverse.
The move down is almost unbelievable and not even the strongest Euro bears from last May were not predicting sub 1.1000. In fact Goldmans were predicting 1.40000 and above.
From a technical perspective there was a falling triangle and that is just what falling triangles do – just like EUR/CHF.
The reality is that parity is now just 700 pips away which in terms of 3,300 pip move, it is not far. As Mario mentions there is not a lot of support going down and maybe it will be next stop. So far every month since last April except June has been bearish with January being exceptionally bearish. Looking back at the charts there has never before been such as sustained move. Whilst it will (well that maybe an assumption) come to an end); however there are no signs that it will happen any time soon.
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Hahah, nice song! 🙂 Great!