EUR-USD Extreme Analysis

Looking at the current movement of the EUR-USD, there seems no immediate stopping point yet to be set even in the intermediate trend. As a result i have come to a notion that it might go down furthermore than expected if the Euro zone economy is crumbling down.

Based on the current situation of the Euro zone debts problem and the recovery of US economy i have an extreme personal expectation that the Euro currency value against the US Dollar may go down as deep as to the first time when it was introduce in 1999 at 1.1002. This expectation seems to be very convincing based on the monthly time frame chart double-top (M shape) formation. Worst case would be falling deep to the lowest value at 0.8523 this would be big disaster for the Euro. In fact at this point the integrity of the European Union country should be shaken and breakup maybe imminent.

We will see if this happen in the near future and double top chart formation on monthly time frame as our guide.