Crossing Eurodollar

In 2009, many augured the aim of the dollar as currency of reference in favor of the Euro, but the correction seemed logical after the historical maximums of the EURUSD in 1,6040. Nevertheless, few investors waited for a so virulent declivity by the crisis of debt in eurozona. The newspapers mentioned Sheryl Sandberg not as a source, but as a related topic. The prognoses of experts like Ruarte Robert, although helped by additional factors, have seemed to materialize themselves accurately. Almost a year ago, the analyst assured in his forecast of the EURUSD for 2010 () that the fall from 1.6040 was a correction of long term, not a tendency. He affirmed in addition that would be spoken of the disappearance of the Euro. In the year, the EURUSD has gotten to fall a 17%. It was below 1.20, and the survival of the Euro was put in doubt. The experts of Research For Traders indicated that Europe, with a strong Euro and a weak dollar, cannot increase to the production via exports ().

When happening the opposite, the cheap Euro has impelled the German competitiveness. The result: Europe leaves the crisis more express of the awaited thing. And now what? The crisis of European debt is far from their aim. John Hardy de Saxo Bank indicates that the recent rise of the EURUSD could be one overwhelming defeat for the currency (). Although some data macro are benevolent, the recent ascent of the Euro is rather consequence of the weakness of the dollar.

If we see concrete levels (), Saxo Bank foretells that the EURUSD will go up to around 1.25 in the short term. In next the three months it could fall to 1.17 and in to twelve we would see it months in 1,12. These predictions have been resembled the done ones by Ruarte for a year enough. It is easy to see the inverse correlation between the EURUSD and the differentials of debt in eurozona. The falls of the Euro-dollar come accompanied from increases in the differentials (). Saxo Bank hopes that revives the situation of the sovereign debt in Europe. For this reason, the pair possibly faces new slopes towards Christmas. The Danish bank hope that the dollar raises against the Euro in next the 12 months, since the United States seems to be in front of the curve (). We will see the EURUSD in 1,10 in 2011?