Attached is a daily chart of the December EuroCurrency (EC Z2).
This morning ECZ2 bounced off a well
defined trend line support at 129.15. This suggests an initial bounce up to
130.45 with potential for a breakout and retest of old highs
at 131.90.The fundamental bull case is that the ECB has gone "all in" on insuring the Euros long term existance. Although, we have questions regarding their ability to succeed, for the
time being, the market could be satisfied with the
effort.
We like establishing a long position at current levels with
a
stop-loss below 128.88.