euro vs dollar

Euro vs Dollar 24 March 2011

This morning’s price action on the euro vs dollar threw me slightly as the pair continued yesterday’s move lower which was most likely triggered by the political problems in Portugal.  Today’s move lower has been seen as a further buying opportunity for euro longs as the pair resumes its move to my end of week forecast of USD1.4228 – as posted on fxstreet.  However, whether the pair can move beyond this price point will depend on number of factors including the extent to which ECB rhetoric will continue to support the euro despite problems in the eurozone periphery and from a technical perspective whether the usd index can hold the key 75 price point.

Euro recovers on sovereign demand