Yesterday's rise in the Euro against the US Dollar forces us to have another look at our prediction that the EUR/USD would continue its plunge for several more months. The last downswing ended prematurely and yesterday's upswing broke through the One-year Resistance Line.
Joining the recent tops and bottoms indicates that the downtrend slope may be moderating, and perhaps a parabola bottom forming. Nevertheless, the Euro is to continue its ZIRP and QE, which the Dollar is forsaking..The EUR/USD will, of course, now swing down again, but it remains to be seen if it will break through the new Support Line and continue its plunge as far as the One-year Support Line.
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