Yesterday’s coordinated action by the central banks to lower dollar-swap rates sent the euro into a bullish spasm. The move was strongly impulsive on the hourly chart, but we’ll reserve judgment on the likely longevity of the move until we see how the futures behave near the tentative ‘p’ midpoint of the pattern shown, 1.3551. An easy move through it would portend more upside to at least 1.3681, its ‘D’ sibling, but it would also infuse the hourly chart with new bullish energy for a possible push toward 1.40.
