Tatiana Kashyrskaia
China is ready to help the EU to combat the debt crisis and promises to support the IMF as it is going to subsidize the Euro zone.
As the result of this week’s talks with China, the EU authorities have announced that China will assume specific measures, meaning purchases of the treasury bonds issued by the risky Euro-zone countries. It is believed that Beijing is going to allocate €4-5B to buy a share of Portuguese bonds. Previously China purchased Greek bonds.
It should be noted that China owns the world’s biggest gold-and-currency reserves. The Chinese authorities are constantly trying to diversify them in order to reduce the dependence on the declining US Dollar.
Meanwhile, the Euro currency rate at Forex is moving in the downward flat range, which seems to exhaust soon. At the Department of studying Masterforex-V trading system they are sure that the bearish wave “A/B” (1.3497-1.3054) is completed while the price has already started forming bullish wave “B”.
The MF pivot at 1.3440 is crucial when deciding on the further movement scenario. If the price goes above it, either wave a (C )/C or shortened wave C will be initiated. The downward scenario also implies the formation of either another short wave a (C )/C or a shortened wave.
Today is the Christmas Eve, so the markets are closed. No news releases are expected for today.
China is ready to help the EU to combat the debt crisis and promises to support the IMF as it is going to subsidize the Euro zone.
As the result of this week’s talks with China, the EU authorities have announced that China will assume specific measures, meaning purchases of the treasury bonds issued by the risky Euro-zone countries. It is believed that Beijing is going to allocate €4-5B to buy a share of Portuguese bonds. Previously China purchased Greek bonds.
It should be noted that China owns the world’s biggest gold-and-currency reserves. The Chinese authorities are constantly trying to diversify them in order to reduce the dependence on the declining US Dollar.
Meanwhile, the Euro currency rate at Forex is moving in the downward flat range, which seems to exhaust soon. At the Department of studying Masterforex-V trading system they are sure that the bearish wave “A/B” (1.3497-1.3054) is completed while the price has already started forming bullish wave “B”.
The MF pivot at 1.3440 is crucial when deciding on the further movement scenario. If the price goes above it, either wave a (C )/C or shortened wave C will be initiated. The downward scenario also implies the formation of either another short wave a (C )/C or a shortened wave.
Today is the Christmas Eve, so the markets are closed. No news releases are expected for today.
Support/Resistance levels:
1.3328 - 61.8% А
1.3276 - 50% А
1.3224 - 38.2% А
1.3159 - 23.6% А
1.3132 - the current price
1.3054 – FZR of А
1.2968 - base А
1.2949 - 123.6% А
1.2884 - 138.2% А
Tatiana Kashyrskaia
