What is in store for Euro zone?

Market Leader informed

The Euro zone is in difficult situation at the moment. The economic crisis leads to political disputes and social unrest. Germany is trying to strengthen its status in Europe while setting its own economic policy rules for others in exchange for a chance of receiving a loan at a low interest rate.

Europe is getting helpless and vulnerable to new shocks. It may lead to the situation when the EU will preserve its integrity only on condition that the participants will take their political interest in it.

However, according to some analysts, if the real economic situation will be taken into account a transition to new (or old) money will be a beneficial solution rather than a curse.

According to the EURUSD chart at Forex it is too early to speak about the reversal of the uptrend.

At the Department of studying Masterforex-V trading system they think that after coming out of the MF sloping channel (based on 1.1875 and 1.2587) the price will form only the 1^st wave for the full-grown downward FZR*. The downward movement stopped at 38.2% of the retracement against the bullish wave 1.1875-1.4282. Currently, the price is developing wave a(C )/C from 1.3785. The weakening of EURUSD will be stopped if the there is a breakout of the MF pivot at 1.3597 with coming out of the MF sloping channel. If the mentioned obstacles are overcome the price will start forming either upward wave A or a correction to the entire bearish wave started at 1.4282.

 

Today’s news (GMT):

09:00     GER - IFO Business Sentiment Index, IFO Economic Expectations Index

09:30     GB - Gross Domestic Product (GDP) Revised, Services Activity Index

10:00     EU - New Industrial Orders

13:30     US - Jobless claims, Private Income, Durable Goods Orders, Consumer Spending

14:55     US - Michigan Consumer Sentiment Index

15:00     US - New Home Sales, FHFA Home Price Index

15:30     US - Crude Oil Inventories

 

 

 

 

 

Levels of support and resistance:

1.3712 - 38.2% А

1.3597 MF pivot

1.3572 - 50% а(С)

1.3460 - 23.6% а(С)

1.3391 – the current price

1.3096 - 161.8% а(С) + 50% А

1.3196 - 138.2% а(С)

1.3251 - 123.6% А + 123.6% а(С)

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