- We now look for support at our 200-hourly ema as well as at the support trendline we have established over the last 2 trading session.
The catalyst were disparaging comments from former Fed Chairman Alan Greenspan, in which he says:
- The euro is breaking down.
- That some collateral held by euro-area banks is questionable.
- That the euro-zone crisis is hurting the US economy.
- But that the US is not yet in double-dip territory
The comments, along with a dip in US equities after gaining overnight, overshadowed the slower, but better than expected activity we saw in the Euro-zone in August from the PMI reports.
Chief Market Analyst