IMHO, this China headline could be at least a temporary top for the EUR/USD. Every day we hear about how weak the dollar is getting. Now this huge news comes out that it will probably get worse. I think it could be a suckers headline. Will I short the pair now? No. But if I was long, I'd be looking to take profits on that piece of news. People who are long from 1.33 a few months back are probably very happy to sell into the buyers up here!
What might be more alarming is that Giselle Bundchen is going long the Euro and short the dollar. Thats my signal to reverse! LOL
http://www.bloomberg.com/apps/news?p...hdY&refer=home