EUR CURRENCY BAND REMAINS AT RISK

The EUR positive interest rate differential currency pairs (EUR/USD, EUR/CHF, EUR/JPY, EUR/GBP and EUR.CAD) stabilized at their new lower currency band and by average tend to be move to upward direction. HOWEVER, they are still under pressure by the continuing movements of the EUR/AUD and EUR/NZD to downward direction. Accordingly, those pairs will remains possible to be under pressure to the previous lows until both EUR/AUD and GBP/NZD to reach their lower currency band. At such, all EUR currency pairs (positive and negative) shall be defended at their lower currency bands before they are consistently to move to upward direction consistently.

BUT AND HOWEVER, the current economic and financial crisis may to cause mixed performance and to put them at the highest risk to rate whereby all stop loss positions remains possible to be touched. This is confirmed by the previous trades on EUR/GBP whereby the weakening on GBP against major currencies has minor impact to strengthen EUR against GBP. Currency pair by currency pair analysis interior the currency band is probably the best approach during this time until the economic recovery in the European area to hit the lowest rock.