Euro Strength Here to Stay; Gold to Hit $1,400: Charts
The euro's recent strength against the dollar is likely to continue and it could move back up to its January high against the greenback, Carol Harmer, chief market analyst for Mercury Forex and Charmer Charts, told CNBC Thursday.
"For the moment, there's nothing to suggest the euro strength is over," Harmer said.
"We're looking at $1.4625, which is the January high," she added.
As the dollar weakens, it can boost the price of dollar-denominated assets such as gold and oil. Gold rose Thursday in the wake of the Federal Reserve's pledge to use $600 billion to buy long-dated government bonds, which took the dollar lower.
Harmer said that the price of gold could rise as high as $1,400 per troy once by early 2011.
Meanwhile, a top has been seen in the S&P 500 and the index should trade lower from here, Harmer said.