EUR

WOW! a 100 pip bar on eurusd - no news - intervention?

EUR is a politically designed artificial currency and eur politcs has failed the test.
Now that the rest of the world awaits a change in politics it hears the same phrases again
ban speculators. This is very disappointing and imo indicates a near end of the EU itself because
EU does not cooperate with ECB and has no means to contain the situation. Of course there is a solution: to give up the principality-like structure with ten thousands of politicians and millions of officials and centralize ministry of economics and ministry of finance ... lean management.
EU has the world's most expensive administration.
However no such move will ever happen EU has too many princes not by constitution but effectively.
And every prince has a large crowd of attendands.

Germany's ban on speculative short-selling will stay in place until corresponding European rules are implemented, Germany's Chancellor Angela Merkel said Wednesday, adding that the euro is currently undergoing an "existential test" and that if the currency fails, then the whole of Europe will fail.

Speaking to the country's lower house of parliament in a speech on the euro rescue plan, Merkel said "the euro is at risk" and the current situation is Europe's "biggest test" in decades.

"If we don't avert this danger then the consequences for Europe are inevitable," Merkel said. "Because if the euro is failing, than Europe is failing."

Germany's lower house of parliament is expected to vote May 21 on the country's contribution of up to EUR147.6 billion to a massive EUR750 billion bailout by European Union countries and the International Monetary Fund for European countries on the verge of defaulting on their debt.

Merkel also defended Germany's ban on so-called naked short-selling of shares in 10 leading German financial institutions and in euro government bonds, that was introduced Tuesday at midnight.

"This will all remain in place until other rules [other than those in Germany] are established on a European level," Merkel said.

The finance ministry has said that additional bans on naked short selling are planned, in addition to those that started midnight Tuesday. They will include a total ban on naked short selling of all German shares, stock derivatives, derivatives related to euro-zone government bonds, as well as euro-currency derivatives that "don't have a role in hedging against currency risks."

Naked short selling is the shorting of financial instruments but differs from conventional short selling as the instruments sold aren't borrowed in advance. The practice came under fire as Greece's struggle to refinance its debt escalated into a crisis across southern euro-zone nations. Many euro-zone governments have said that transactions such as credit default swaps--a type of default insurance--artificially inflated Greece's funding costs.

Merkel also said that Germany will campaign in Europe and globally for the financial sector to help pay for the costs caused by the recent crisis, saying "we need a taxation of financial markets."

Germany will lobby for an international financial transaction tax or a financial activities tax. If there is no global deal on an international level, then a European approach should be considered, Merkel said.

In her speech, Merkel also defended the European Central Bank's independence and said that despite recent action taken to rescue the euro, she has no doubt that the bank will stick to its top priority of securing price stability.

"Securing price stability is and remains a top priority for the ECB," she said.

She also said that a far-reaching reform of the European Union's Stability and Growth Pact is needed, which includes tougher controls of budget policies and setting up orderly insolvency procedures for euro-zone member states.

She also said that countries violating budget rules would risk losing their voting rights temporarily and could be refused money from the EU's structural fund.

Hi Ashraf

What time frame we looking at for EUR/USD to reach 1.17

Thanks

Guess what. The deadly cross of AUS/USD is appearing. The 100 MA and 200MA both are crossing now in Daily timeframe. I am wondering why Gold still up and AUS is down. What can you share with us Ashraf?