EURO Monthly
Euro is currently in SET-UP A, with the expectation of higher prices into January's highs.
This is because there isn't a 4th Quarter breakout, and price is above the DEC 50% level and following a 2xtimeframe wave pattern upwards....
Unless the Union cuts rates early in 2009, then the bias is to move higher...
There is still a possibility that the Euro could continue down into the January lows, but at this stage I would like to see the monthly 2-wave pattern play out before any weakness occurs in February.
Euro WeeklyThe ideal set-up would be to push down into the January's 50% level and then continue higher using a 3-day pattern set-up.
I'll come to that in the daily report.
Note:- often these patterns can also move back down into the 3-week lows, bounce off those lows and then set-up a higher move using HOOK patterns above the monthly 50% levels.
