On the above chart, you can see that the 20 day moving average is crossing the 50 day moving average to the downside: my system tells me that this is a sell signal on the US Dollar index. This system proved to be right in the past 2 years.
At the same time, the EUR/USD is making new highs and has reached 1.2750 after having reached a low of 1.1880 in early June. The trend is still bearishbut the inverted "head and shoulders" technical formation might signal a trend reversal in the EUR/USD. During the next few days it will be crucial to monitor what is happening to this currency pair, especially if it can cross the bearish trendline and stay above it for at least a week to know if the EUR/USD can continue its race higher.
No comments:
Post a Comment