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EURUSD Holds 1.2820 Support after Spanish Budget, But for How Long? | DailyFX
Skepticism was temporarily sidelined this past session as the market offered an optimistic evaluation of the Spain 2013 budget. EURUSD responded by bouncing off of technically-important support at 1.2820, while risk trends enjoyed a hearty rally of its own. Yet, we have to evaluate this move against market conditions that curbed trend development and shown steady progress towards unwinding the post-Fed QE3 rally. Have we revived the larger trend with this jump or is it merely a correction? Will the quarter-end seasonality effect carry weight through Friday? What do underlying risk trends look like? We discuss this and more in today's video.