Week of March 9, 2009

EURUSD’s fall from the December 18, 2008 high of 1.4718 remains active as ONLY a daily open and close above 1.3319 will complete this fall while the March 4, 2009 low of 1.2455 holds. A daily open and close above 1.3319 will see prices continue to move higher within a 1.3319-1.3854 consolidation zone before another attempt to the downside.  As to the intraday outlook, the short term rise from the March 5, 2009 low of 1.2481 remains active with 1.2786 as the next objective, however, a 2 hour open and close below 1.2649 will complete this rise while the March 6, 2009 high of 1.2753 caps, with prices then continuing to move lower within a 1.2585-1.2649 consolidation zone before another attempt to the updside.

More updates later. RW