Week of June 13-18, 2010

EURUSD’s broad outlook remains unchanged as the fall from the November 2009 high of 1.5143 continues to unfold reaching 1.1876 as ONLY a weekly open and close above 1.3124 will complete this fall while last week’s 1.1876 low holds. Similarly, the fall from the January 13, 2010 high of 1.4579 remains active as ONLY a daily open and close above 1.2909 will complete this fall while 1.1876 holds. As to the corrective rise from the June 7, 2010 low of 1.1876, this rise continues to unfold as ONLY a daily close below 1.2047 will complete this rise while the June 11, 2010 high of 1.2152 caps. While 1.2047 supports, look for upside correction to continue targeting 1.2579 while a daily close below 1.1981 will suggest the downside extension is once again underway as a sustained break of 1.1876 targets 1.1642, 1.1435 and 1.1210 in the days and weeks ahead.