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FXstreet.com (Barcelona) - Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman notes that out of all of last weeks big moves, the Euro has led the way and remains the strongest from a technical perspective.

He notes that it has pushed through the mid-December and early January highs near 1.3300 and has posted two strong advancing sessions to finish the week. He writes, "Relative strength index, MACDs, and the crossing of the 5-day moving average above the 20-day moving average all suggest that there is room for follow through buying." He adds that the one cautionary note is that the Euro finished the week above the upper end of the Bollinger Bands (2 standard deviations above the 20 day MA. Even though the changes in the Euro are not normally distributed, making standard deviations a somewhat less useful concept, he notes that it is is still a rare occurrence. Of the three times it happened in H2 2012, the Euro fell within a couple of sessions.
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