EUR/USD Drop Accelerates; Largest Decline in 3 Weeks
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-EURUSD rolled over at slope resistance but several longer term technical observations are worthy of note; the rate found low at an important long term level (line off of 2008 and 2010 lows) and the ownership profile (as per COT) is at a record. The speculative crowd has never been more bearish…ever. Such conditions typically precede important reversals…although not necessarily right away. A break above the resistance lines (old support) would indicate that behavior has changed. Until then, there is nothing bullish to work with.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.