Mysterious EURUSD behaving quite strangely, it looks like a false break doesn’t it but here’s my concern about this break. Firstly, yesterday the pair didn’t continue to the top of the channel, secondly, about 11pm last night, there was a massive downward spike, very fast that then proceeded to not materialise in the usual upward push.
That coupled with the news that little Luxembourg is also struggling to stay afloat with the EUR means for me the whole thing is a ticking time bomb. Although I think the trade is sitting back in it’s old BULLISH channel. It’s struggling to hold on and with the FED speech today (an important one) and a lack of anything important EUR (at the moment this may change) I would imagine a BULLISH trade on here may make some profit initially but could come crashing down.
To be honest, the EUR feels like a baby with a bad tummy, you know baby is going to explode, but you just don’t know when. Just stand back bulls and don’t put anything too risky on.