Chart: EUR on its way to match Dec LTRO Move?

Since this week’s LTRO operation, the EUR/USD has fallen 3 straight trading days by as much 280 pips. Based on this price action, it looks like the pair is on its way to “mirroring” the post December LTRO move. It wouldn’t take much for this to occur – all the EUR/USD needs to do is fall another 180 pips which would STILL put it above the psychologically significant 1.30 level. Back in December, the selloff in the EUR/USD felt so much deeper because it triggered a break below 1.30 and a move to an 18 month low. I’m betting on it happening again. What about you?

4 Comments

  1. Thanks for the great comparison to LTRO I. I certainly see the pair falling further. I’d add the endless delays regarding Greece to the reasons sending the pair down.

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  2. Could be, but Im seeing a turn around off of the 200 mva. We’ll see if it holds. If it does I’d expect it to rally to 1.36 or so.

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  3. Good day Kathy, and compliment of the season i so must like the ways you Help fx trades, The starting point of all achievement is desire pls Kathy i like to work with you Pls Help me with your signals.

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  4. Sorry!! I have a contrasting view, with d interest rate low on the dollar and the recent bail-out deal on greece pulling through!!!, i want 2 see a fair size retracement 2 d upside and a renewed show of risk appetite on the rise!!! for now i still see d 1.3100 level holding until a stimulus pushes price in anoda direction.

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