December 28th, 2008

EURUSD reached 1.4718 on December 18, 2008 and subsequently corrected to 1.3823, a few pips beyond the 38.2% of the 1.2423-1.4781 rise.  Daily charts continue to favor more upside potential with a daily close above 1.4165 today targeting 1.4270 and 1.4376 as the next objectives.  To the downside, a sustained break below 1.3823 suggest further downside risk towards 1.3300 before another push to the upside.

More updates later. RW