Wednesday, February 17, 2010
Morning Briefing for February 17th: Weighed Down by the Euro
Note how the sharp downside break in the euro this morning (above chart) corresponded to weakness in commodities and eventually stocks. While we saw some follow through buying in stocks early in the morning, it is difficult to sustain strength when macro players around the world are selling risk assets. Seeing those intermarket relationships is extremely helpful in formulating hypotheses about continuations vs. reversals in the stock market.
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