Sunday, February 8, 2009

Currencies charts of the dollar, euro and yen

The yen dropped sharply under that 111.49 level, which does raise the question whether it just loses it and drops off sharply. Under 105/106 and it looks like either a small flat, or an outright trend reversal. I'm still thinking it gets to new highs instead, aided not only by the big-picture chart pattern I reviewed in detail previously but also the rising 200-day moving average. But I will gladly revisit the big picture if the yen drops under 105/106:


Some people apparently think the euro is going to climb up. I must be missing something, because I'm just not seeing it in these charts. I don't know if it re-tests up to the 50 or 200 day moving average again, but the weekly and monthly charts look to me like the euro is going to be rolling over to lower levels:


Just a quick look at the dollar's daily chart. Looks like staying above 84 is important if it's going to get to the targeted Fibonacci projection level at 91.


Looking at the dollar's monthly chart, it looks like it can stay strong but understandable that it's slowing as it approaches the 200-month moving average. Interesting question whether it can move above it, or would both the dollar and the yen lose key support levels? Clearly if the dollar cannot surmount its 200-month moving average, it may be subject to rolling over to much lower levels, as many are also discussing from a fundamental standpoint:

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