Thursday, March 3, 2011

EUR/USD ~ Update ~ 3 March 2011

The EUR/USD gave a buy signal when it closed above 1.375 (see last update). Today, we hit the downtrendline around 1.40ish so the EUR/USD is now in line with the DXY ($Index) which is at an important support line.

So, it's make or break for the € and the $ now. If the resistance line doesn't stop the rally we'll see much higher prices - my next target is at 1.43ish.
I don't have a specific level to go short yet. I think if we decline below 1.37 again the top is in but I'd like to see a confirmation also in the SPX, so we have to watch both.