It Will Take Time For European Banks To Emerge From Cocoon And Become Butterflies.

The US dollar has risen sharply and the US dollar index has broken 94 points.

Non US currencies fell across the board. The euro fell sharply due to QE, which also led to a decline in European currency and commodity currencies.

The euro, the pound and the Australian dollar all had a downward displacement.

European countries and the US stock market rose comprehensively, of which the Dow Jones industrial average rose 1.48%, closing at 17813.98 points, the NASDAQ index rose 1.78%, closed at 4750.40 points, and the S & P 500 index rose 1.53%, closing at 2063.15 points.

On Wednesday, Bloomberg News said that the European Central Bank's relaxed scale was 50 billion euros per month. Yesterday, the official scale announced by the government was 60 billion euros per month, exceeding the market expectations.

The central banks in the euro area bear the risk of QE, while the risk of European institutional bonds is shared.

Among them, the risk of debt accounted for 20% of the total, the European Central Bank believes that by controlling the purchase of assets to design and coordinate the purchase of assets, the European Central Bank has maintained the euro zone monetary policy of a single nature.

At the same time, Europe

Although the time for bond purchases is from March 2015 to September 2016, it is also stressed that debt purchases will continue until demand improves if necessary.

Therefore, this time in September 2016 is actually elastic, and the real time to end the debt purchase depends on the level of inflation. If inflation improves at a slower pace than the ECB's expectations, the ECB is likely to continue to buy debt after September 2016.

The QE of the European Central Bank undoubtedly brings more liquidity to Europe, and it will also play a better role in promoting the recovery of the euro area. However, after the 2008 crisis, the euro zone did not immediately invest in the overall easing. After many years of struggle, the ECB was forced to finally decide to implement QE and missed the best opportunity for recovery, just as a patient did not receive good treatment at the early stage of the disease, and it might be too late to come back at the end of the illness.

Yesterday's continuation of this week's downtrend has slowed down the support strength of the 0.8030 day line and refreshed its low position for many years.

The strength of underneath support will continue to fall on behalf of the Australian dollar.

Early this morning, the Australian dollar continued to descend and fell below the 0.8000 mark, and the weekly line descended to the 0.7700 line.

In the day of attention to 0.8000 of the recovery, if the Australian dollar back 0.8000, the strength of the upper line can only see the early low of 0.8030.

Once the 0.8030 test is down, the Australian dollar can continue to try.

The Australian dollar broke down a day earlier, and yesterday it continued to fall after a slight pullback.

On the weekly line, the New York dollar fell below the pre support level of 0.7610, and the target of further downward was 0.7300.

At present, the price of the New Zealand dollar is hovering near 0.7490, and the need to return to the 0.7610 line on the Japanese line is the right price to continue the short selling of the New Zealand dollar. Recently, the upward trend is hard to reach. Within days, four hours' attention has been paid to the 0.7555 line of callbacks on the upward resistance of the chart.

On Tuesday and Wednesday, the US and Canada rose sharply after two consecutive days of gains.

Today, the US dollar continues to maintain a strong position, also represents the weakening of the non US currency, while the Canadian dollar is also weaker in the non US currencies. The US and Canada still have a rising trend in the day, but the strength will be weakened. We will pay more attention to the support strength below 1.2330.