Kickin' it off. The way things are laid out and acting, I'm expecting some serious action this week. Will the Euro trade parity this week, or bounce off this key area? Will crude set a new low for the love, on its journey to the low 30's, or follow the Euro with a bounce? (Sure the Euro could tank and crude still bounce on its own.) Will the ES head down to that (much) lower area, or respect this key area here (for now?) that it just tested twice? Everything is set up for 'big' bounces in here, but will they? What does it say if they don't? All great questions...

Yes. I believe that we can see 1.07 hit overnight or more likely tomorrow around american open.

Euro is a bit nasty today to trade, but I still count on the third drive into 1.07

1.0820 is where the Euro may stop and reverse.

Like I said, low 2100's (basis March, even though it is now trading June, since that's where my historic work was). No shocker. Now we see if it blasts the new all-time highs. Before anyone gets too serious about this 'wonderful' area here. look at the Russell and the MidCaps. They smoked the new all-time highs today by a massive margin. They are just lifting off like a lunar rocket. Gone.

It wants 1.1030-40 I guess.

.886 at 111.35

If they really bounce the Euro, which I think has a moderately good chance of happening, I'm looking at 1.21 to just under 1.23. Then the final move down into oblivion. Armstrong is more thinking drop in stocks that sends money into bonds for the final leg of the sovereign bubble, then that pops (the 'Big Bang' in Sept this year) and stocks head up to Dow 43,000. The Euro up (and dollar down) here would more line up with what we are seeing, stocks up. I'm not sure how to reconcile that with what Armstrong is thinking. Maybe it pops some more here, then rolls over, and the Euro resumes its slide, only moving up a bit more, perhaps to the area Marcin outlined. I'm not sure. I just know the Euro really would like to see that area I outlined. We can't all get what we want, but it wants it, for sure. This process to oblivion takes time.

So, anyway, pretty cool to see the Euro move up over 400 pips since this morning. Nice, average day move, nothing special. Yawn. From Planet of the Apes: "It's a maaaaaaaaaaaaaaad-hooooooooooooooouse!"

BTW, the DX 'flash crashed' at the stock market cash close, dropping about 325 pips. This was in addition to the over 200 it had dropped since the morning.

Euto saw 1.10, but it was shy off the key backtest line I looked at.

Yep, time to start heading back down. Too bad the odds seem against that happening. Look at the Russell and MidCaps. But, you never know.

Originally posted by rat89

target area hit

Click image for original size