EURUSD Gold crash and what it means for Cyprus.

Part of the Cyprus rescue deal was ofcourse to sell of their Gold reserves. Guess what. Gold plummeted in price, unless this IS them selling off Gold that has caused the drop in the Gold price, I hate to say it they could be up the creak with out a paddle. The rescue plan will collapse as there is a  lot less money in Gold than there was. Result could be a domino effect on the EURO reducing it’s value hugely.

Personally, I’m waiting and seeing and not using the words LONG and EURO together.

It appears that USD is now gaining ground against EUR and GBP.


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