Has EURUSD peaked at the 2 year high and starting market correction?
On more recent time frames we have seen a clear break of a key level and the bullish trend line we can see on the 4H and been strongly breached.
So what has caused this Euro Decline?
The market are starting to anticipate that members of the ECB and getting concerned at the strength of their currency in such a short period of time, with it increasing over 12% so far this year from low to high. The strength has been on the back of the market expecting the ECB to scale back on its Asset purchase programme but now may delay tapering, which was expected in September meetings.
Due to comments made this morning we seen a drop in the Euro strength even after better then expected CPI and core CPI data.
When central bank members comment on currency strength it always panics investors into withdrawing there positions.
I will be looking at holding down to 1.1720 level before a buy opportunity presents itself again.
Lower lows will cofirm a full trend change with a close below 1.1670 on the daily timeframe
Whoever says fundamentals doesn't drive the market are incorrect.
We have entered this trade at ETGFX again today after bagging 70 pips from an intraday trade yesterday
On more recent time frames we have seen a clear break of a key level and the bullish trend line we can see on the 4H and been strongly breached.
So what has caused this Euro Decline?
The market are starting to anticipate that members of the ECB and getting concerned at the strength of their currency in such a short period of time, with it increasing over 12% so far this year from low to high. The strength has been on the back of the market expecting the ECB to scale back on its Asset purchase programme but now may delay tapering, which was expected in September meetings.
Due to comments made this morning we seen a drop in the Euro strength even after better then expected CPI and core CPI data.
When central bank members comment on currency strength it always panics investors into withdrawing there positions.
I will be looking at holding down to 1.1720 level before a buy opportunity presents itself again.
Lower lows will cofirm a full trend change with a close below 1.1670 on the daily timeframe
Whoever says fundamentals doesn't drive the market are incorrect.
We have entered this trade at ETGFX again today after bagging 70 pips from an intraday trade yesterday