Thursday, 21 February 2013

EUR//USD: Fed verifies false break higher overnight

  • Fed statement on potential QE3 curtailing before labor mkt improves boosts USD
  • EUR/USD trips stops through 1.3320/25 & clears bids pre-1.3300 & hits 1.3279
  • Bearish outside day if pair closes below 1.3328
  • Close below Feb 15 low means consolidation over & test of 1.3245/55  is due
  • Daily charts show massive H&S pattern developing, break of 1.3245/55 confirms
  • Through 1.3245 & bears have a clear path to 1.3000/40

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