I think if you look at a Monthly or Weekly chart, you can see a clear up channel over the past 5 years in EUR, that has one more cycle up under way. Recent USD strength was just a 2 month corrective intermediate cycle, like in October 2005, according to the charts and substantial evidence.
Short term, this week could see some reactions, but I doubt the intermediate or larger trend will change yet. Asia, Gulf States, and Europe are alarmed by USD fundamentals. We have probably seen a change in support for financing US debt, the Fed must now monetize the debt themselves.
Short term, this week could see some reactions, but I doubt the intermediate or larger trend will change yet. Asia, Gulf States, and Europe are alarmed by USD fundamentals. We have probably seen a change in support for financing US debt, the Fed must now monetize the debt themselves.