Not much follow through so far but the market is still consolidating below 1.3700 and looking pretty heavy. Not much in the way of technical support until the low 1.34′s and I’m not hearing of many bids anywhere so it might get hairy again.
10 Responses to “EUR/USD takes out 1.3700”
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AUTOREFRESH 
EURCHF & GBPCHF way down
Is it possible that sharp move down on the EUR/USD was a bit of stop hunting going on?
i believe this is more than a consolidation….some bad new must have happened somewhere
Yes Observer, option barriers at 13700 were taken out
Are we seeing a further break to the downside then or is this going to be a false break and move back up to the low 1.370s
I am not sre at all my friend. I am still holding a small long position from much higher and I’m not sure if I should simply cut it and take my loss or if I should add to the position and try and trade my way out. There’s not much technical support on the downside until the 1.34 handle which is a long way away.
I’d say it depends on the rest of your short USD exposure on other pairs. But what the heck do I know!?
http://www.telegraph.co.uk/finance/financetopics/financialcrisis/7159456/Fears-of-Lehman-style-tsunami-as-crisis-hits-Spain-and-Portugal.html
Did the AUD RBA monatary policy statement have anything to do with this? Triggered same time they were making the announcment. 7:30 US EST.
No I don’t think so- the statement was out for a short time before the mkt took on the EUR barriers