Schatz held 110.01 and therefore the yearly low for 2012 at 109.98 last week. We shot way higher than expected as the market volatility increases. Above 110.17 today we should see 110.20/21. We should start to look overbought short term in the bear trend at this stage but if we continue higher look for 110.25/26.
Below 110.17 is more negative & leads us back to 110.14 then 110.11. If we continue lower look for 110.07/06 before last week’s low at 110.02/01. Be aware this week that 109.98 is the yearly low for 2012 & therefore very significant. A break lower cannot be ruled out and targets 109.94 then 109.88. A visit to 109.65/60 in the coming weeks would not be a shock.