December 12th, 2008

EURUSD corrective rise reached 1.3404 yesterday as a daily close above 1.3298 today will complete the fall from the September 22, 2008 high of 1.4866 at the October 28, 2008 low of 1.2328, with prices then moving within a 1.3298-1.3896 consolidation zone before attempting another move to the downside.  As to the short term rise from the December 4, 2008 low at 1.2549, this rise remains active as ONLY a daily close below 1.3078 will complete this corrective rise with prices then moving within a 1.2875-1.3078 consolidation zone before another attempt to the upside.  As to the medium term outlook, ONLY a daily close below 1.2558 suggest prices are again moving lower with the October 28, 2008 of 1.2328 as the next objective followed by 1.2132.

More updates later. RW