The latest disturbance of equilibrium in the Australian dollar was the surprise rate cut from China's central bank.

In the European morning, at a banking conference in Frankfurt, the ECB's Draghi expressed a sense of urgency that heightens the risk of fresh action as early as next month.

The Euro should continue to fall, and although the 1.25 level is a large, round, psychologically significant number, I believe that it’s only a matter of time before we break down through that area.

In light of the news from the land of the rising sun and the sinking currency, let’s reserve NFTRH 315’s only real charting for a big picture monthly view of currencies.

Weekly forecasts for USD,CAD,EUR,GBP,JPY.

While bulls have every reason to be excited here, I should duly note that the rally is finally reaching toward overbought levels. At the current rate, T2108 will hit overbought just in time for Friday’s U.S. jobs report.