EUR 04 (Nov 10 - Jan 12)

[winston]

Citi Explains Why The Time To Fade The EUR Rally Has Come by Tyler Durden

Yesterday the short squeeze in the EURUSD brought the pair to within pips of Citigroup's revised stop loss of 1.4260 even as it got even more bearish on the European currency, setting a new target of 1.3150.

Today the bank's FX strategists continue their onslaught, stating in a note that wonders how long the Euro-love will last that "The post-summit EUR rally is driven by a continuing squeeze in short risk positions and unwinding of worst fears of financial contagion, rather than improvement in cyclical fundamentals."

Here are their full thoughts on why the time to short the pair, and thus the entire EURUSD-driven market, lower.

http://www.zerohedge.com/news/citi-expl ... y-has-come

[winston]

Not vested anymore.

On Fast Money, they were discussing the EFSF.

If the EFSF is to get some foreigners eg. China, Brazil etc, to subscribe to the EUR 1 trillion of bonds, dont they have to buy a lot of EUR in a short while ?

Or would the EUR for the EFSF, be coming from existing holdings of EUR by these foreign countries ?

[kennynah]

i have a technical short term support at 1.365

please share your tech reading.

thanks

[iam802]

Daily support is gone at 1.38

[kennynah]

1.382 region rather important resistance level...

if it breaks up...we might see 1.4

do you have another reading?

[iam802]

Resistance from now till Nov 8 is at 1.3952

From Nov 9 onnwards, resistance is at 1.3842

[kennynah]

champion .... you now even incorporate time frame into the R/S readings...

what system are you using?

thanks..

[iam802]

Screen Shot 2011-11-02 at 9.49.48 PM.png

[kennynah]

so deska road

you don't think at current price, that brown cloud won't retard price downwards?

[kennynah]

by the same token, lower IR by ECB ought to have a negative impact on euros... apparently not.... so how to explain ?