EURUSD In Bearish Phase

EURUSD continues falling amid more news of problems in Europe. A Hungarian official's warning about the state of his country's economy deepened anxiety over Europe's debt crisis.

The currency pair has now broken below 1.20 levels and looks likely to fall further.

Looking at the phase chart, we see that the trend for EURUSD is firmly in “Bearish” territory. Apart from mid April where the currency bounced above its 50 day moving average, the currency pair has been in “Bear” phase since late January. Traders who had taken the signal to short the market would have seen the currency pair falls from 1.38 level to the current 1.19 level. That is a good profit for staying with the trend.