A healthy pullback on Friday and this morning with some USD buyers broadly taking profits. Well done all those that caught the initial target into 1.076x, a flawless selloff from the "Worm in the Apple".
There is some hope making the rounds across the continent for re-openings which has provided the relief in this bounce. More fairy-dust than substance in my books as the rebound in risk (and hence EUR) will have to come from hard facts in the data from the core and periphery performance over the coming months ahead. How quickly consumers return to business as normal will be an important one to track, as will the potential for a second leg in the virus. I'm still sitting short euro and happy to scale some more back in at these levels as risk has now been paid for in the previous round of profit taking...For those following from the technical conversations around Recycling positions to cover costs of entry (recommend digging into the chart archives for more on this one).
For the technicals invalidation of the bearish short-term view comes only with a breach of the 1.090x handle. While we remain below the 1.06 & 1.05 lows are exposed and vulnerable... Thanks as usual for keeping the likes, comments and charts coming!
There is some hope making the rounds across the continent for re-openings which has provided the relief in this bounce. More fairy-dust than substance in my books as the rebound in risk (and hence EUR) will have to come from hard facts in the data from the core and periphery performance over the coming months ahead. How quickly consumers return to business as normal will be an important one to track, as will the potential for a second leg in the virus. I'm still sitting short euro and happy to scale some more back in at these levels as risk has now been paid for in the previous round of profit taking...For those following from the technical conversations around Recycling positions to cover costs of entry (recommend digging into the chart archives for more on this one).
For the technicals invalidation of the bearish short-term view comes only with a breach of the 1.090x handle. While we remain below the 1.06 & 1.05 lows are exposed and vulnerable... Thanks as usual for keeping the likes, comments and charts coming!