Trend Stronger than News?

EUR/USD H1 chart, source:forexfactory.com

H4 chart, source:forexfactory.com

 Ifo Business Climate, announced in late months is one of the powerful economic gauge on Euro. Ifo's index on 25th recorded 107.3 worse than expected 108.5. It means Euro's plunge empirically.

But Euro's movement was different than previous that. As the gauge was announced, the price fell some 4 pips. Then the EUR/USD pair rebounded soon, and it plummeted to 1.0808. It rebounded again. It fell just 18 pips from the time of the announcement.

Euro moved back for a while due to the bad news but it kept the bullish trend. And it showed another feature about powerful gauge Ifo's Biz Climates.

M5 chart, source:forexfactory.com

Though the incline has been modified, long trend is available as ever. Long bias is available if the negative effect by the news are watched. Modified incline may be adjusted again, then the pair has the possibility of being in the trap of the box.

Strong Euro to USD is made by the more Quantity Ease in Europe. Europe Central Bank, ECB has kept the interest rate 0.05 percent though U.S. Fed rose the rate, and the economic climate is not better than that in the United States.

More QE and currency war among the advanced countries are planned, and it makes the investors conservative to the market.