Hat tip to @gold_tracker on Twitter for this post at Gold Versus Paper - Ireland - First PIIG to Break Down. It looks like the Dow Jones Ireland Stock Index ($IEDOW) broke $180 support, closing at $178. It tested that level 3 times since May and finally gave in yesterday. Italy also blew through its 50 day moving average and has the risk of violating a symmetrical triangle. Spain pierced its 50dma and must hold 370 next week or there's risk of further downside. Is a new EUR/USD downside wave about to occur on growth risk? Be careful with European equities. Here's what currency hedge fund manager John Taylor had to say 10 days ago on Bloomberg (if still relevant): John Taylor (FX Concepts) Eyeing EUR/USD Trend Reversal, Greece, Spain Will Default, COT Chart (EUR/USD, USDX, DXY, UUP, FXE). Charts after the jump.
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