Forex news. European debt crisis is one of the main problems of temporary economic problems in the USA. This was concluded by the President Barack Obama during yesterday’s press conference at the meeting with European top officials. European market is rather important for the USA, as the capacity of Europeans to buy American goods has a direct impact on the number of jobs for Americans. “We are ready to contribute to the recovery of Europe from crisis,” proved the President. However, it is not yet clear whether this will be followed by material “contribution”, or by a mere creation of a special work team.
Meanwhile, the Organization for Economic Cooperation and Development (OECD) has issued a report, according to which next year American economy is going to rise. The rise is going to be smaller than previously expected, whereas Eurozone is going to face so-called “mild recession”. Therefore, it can be concluded that the crisis of sovereign debts in Eurozone is the major risk for world economy.
At the same time with the above-mentioned international rating agency Fitch, as it had promised one week ago, has lowered the long-term forecast of US sovereign debt rating to “negative”, having left it at a high level. Fitch statement claims, “Negative forecast represents the undermined certainty of Fitch that the government will take timely tax measures that are needed for the recovery of US public finances”. This clearly shows the failure of the mission of the two-party “super committee” to work out a compromise economic plan.
In such controversial situation EURUSD currency pair has formed an upward ТР (Turning Point) of h4 level at FOREX market; as soon as this point is passed, the current wave “C” of this wave level will finish.
In this reference, further movement can be represented by either the 4th wave of h4 level or a turning wave “A”. The System of Early Prediction Sub-department under the Department of Masterforex-V Trading System will give a hint about which variant is more likely to happen.
Meanwhile, the upward movement of ТР (1.3334) within h1 timeframe is not yet over; it will continue until ML (Main Line) crosses RS line (Resistance/Support) of AO Zotik indicator.
The System of Early Prediction Sub-department under the Department of Masterforex-V Trading System will signal about the change of the situation or the direction of trend.
