This is the 2nd part of the internmarket analysis series. There are several market correlation and i aim to have a discussion on one of them each week. My overall findings will point to the hypotheses that correlated markets tend to move together.
In this post I will discuss on how euro cross currencies are inversely related to European indices ( Dax , DJ Euro , French CAC , UK footsie , Spain IBEX etc).
Meanwhile EUR crosses such as EURSGD has already showed signs of uptrend with 2 consecutive up weeks. A upflag with hammer has appeared so that is a clear sign to go long.
Overall for week 51 EUR cross should strengthen & Euro indexes to go down if this correlation was to play out.