Down to 1.0850
Comment:
It’s difficult to imagine that though, because the European Central Bank is about to jump into extreme liquidity measures, and although the Federal Reserve has just cut interest rates, they look to be pausing as far as all of that is concerned. In other words, the US dollar should continue to strengthen a bid against the Euro but I’m not looking for any type of meltdown. I simply believe that we are going to continue what we have seen over the last almost 3 years, a choppy but overall negative market. Rallies are to be faded unless we get that break out, and to the downside I think the 1.1075 level makes the most sense as an initial target as it has offered so much support over the last couple of days.