Greece Set To Ruin The Eurozone After Another Austerity Agreement

While the markets rally on Monday, gloomy news is the reality for Greece after the the Austerity Agreement. This will only delay the default that is inevitable and cost the Euro Zone even more.  The truth is the coalition is doing way more harm than good and the Greeks should exit this currency and default to even consider saving there own country.

Greece Crisis Worse and Euro Currency Soars!

Wait, For How Long..?

Above – Greece pushed further into Crisis while the rest of the world thinks all is good..

Anyways my thoughts are on this that i think many should consider, imagine having a big credit card in the billions and then each month only paying the interest only.. That is exactly what the Greece agreement is doing, so in reality without growth in this country which is exactly nothing at the moment due to unemployment and homeless this only suggests a worse recession for Europe further down the track.

My thoughts are now considering the banks in Europe are not lending that within the next few months Greece will be in the same position except worse and Europe will progress into the worst recession in history thus pushing the Euro value down to as far 1.15 mark which will crush many currencies around the world including pushing the AUD down as far as 0.97 cents US or further.

When exactly this will happen is exactly when the markets actually realize what is really going on. For now people are blindly being positive and the Euro is rallying. For how long is really up to the progression of how long misleading news can effect someone.

If you are thinking of going long on the EURO consider placing a stop loss in profit almost straight away and when it does turn it may be the right time to again invest the US currency once again.

My take is bearish on the EURO..

Forecast For EURO / USD 2012

• February 1.32 to 1.33 based on false promises
• March 1.28 to 1.30
• April 1.25 to 1.30
• May 1.20 to 1.25
• June 1.15 to 1.20

Regards,

Timon Weller