Euro Intraday Bearish Phase Update.

I was expecting a counter rally and we were not disappointed as soon after the Euro turned south one more time. If another violent reversal happens then I may have to change this 4th wave count. What matters is if the Euro was in a big fake bull market fooling all the experts in the process.  It sure can be as I have many other currencies in the same positions.  Gold needs the Euro to turn very bullish and that sure does not look like it’s going to happen. This recent dip in the Euro was matched with a dip in the gold price. From my perspective the Euro/Gold relationship is still working.

The commercials were also short the Euro,  so until that situation makes a dramatic change, I will remain bearish towards the Euro. The US dollar also spike higher this morning, so all three are acting their parts perfectly.  These are only three asset class relationships I’m talking about, as our Canadian dollar and the Australian dollar are showing the same patterns.  Many experts have forecasted for the Euro to soar, but by the looks of it the Euro is refusing to cooperate. Telling the difference between a real big bull market still to come or a fake bull market is the key, as the smartest market readers are also being fooled.  A new big bullish phase in the Euro will happen, but at this time it sure looks like the next big bullish phase will also be a fake.

Hits: 5

Share this...
Email this to someone
Print this page