EUR/USD addendum

Perhaps this is easier to understand on the short term timeframes.

 3 min Euro is a bit weaker here with a slight negative

$USD being nearly the mirror opposite is a bit stronger here with a positive 3 min divergence. Thus there's confirmation.


The 1 and 2 min charts intraday if they are strong enough will bleed in to the 3-5 min. Those 1-2 min charts are showing the Euro starting to strengthen on the rebound from the intraday lows, the dollar is starting to lose some of it's strength on the same timeframe. The 2 min Euro chart shows the same, the rebound off the intraday lows is a bit stronger than the higher opening prices and the Dollar is a bit weaker than the opening prices. So the short term intraday trend is seeing some strength develop in the Euro, it's not quite strong enough yet as it hasn't reached the 3 min chart, so it will either continue to strengthen and the 3 min chart will get back in line or become positive, then it can move to the 5 min chart or this is just intraday jiggles.

The larger trend that is more important is the 30 min chart which is positive on the Euro, negative on the dollar.

As mentioned yesterday, expect volatility and some game playing near these very important levels, this is the most important level for the EUR/USD in the near term as it could facilitate a short squeeze that would effect the entire market (positively).