Greeks Papandreou on the newswires. Reminds everyone of the Greece hardships

Written March 8, 2010 at 10:39 AM EST by  

gregmike-00756Says

Papandeou comments on the newswires has sent the EURUSD back down after failing to extend above the key 1.3691 level.  He has said that, Europe must understand Greek reforms need time.  Adds, not asking Europe to rush to aid of reckless countries but adds that Europe must  help Greek take longer view as budget cuts won’t lead to sustained growth.  He warns that deflation risk for Greece if productivity and job creation is not initiated.

The comments have sent the EURUSD back lower as concerns about growth/deflation problems start to weigh back on the currency. The price has moved below the 1.3654 level. This level will be watched as resistance now. A break of the 1.3638 level (38.2% of the 2 day range) and 1.3632 (100 hour MA support)  are the next level to get through.  Below that 1.3617.

gregmike-00757

From one intraday extreme to another.

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