Three days ago when July closed at 143.15 I said that since July had climbed 1300 points it was probably time for a correction. Boy, have we had a correction.
With July down 755 points today and a close below 1.30 at 128.45 we have had a very definite correction. A close well below the previous support level of 1.30 suggests that we could go lower. On the other hand do I dare to suggest a correction upward tomorrow. In the past two months since the big drop from the 1.65 area to the 1.35 area July has seen some very big reversals.
I am attaching two articles – one that makes some general comments and states that demand still is expected to exceed supply and the second suggests that we could easily go to 1.20.