EUR, Tax Cuts, UN: Levels, Ranges, Targets

An historic day since WW 2 is upon us in 2 respects. Trump’s required sledgehammer effect to stop the Democrats was delivered and finessed by law through tax cuts for every state except the Democrat Blue States.

Democrat governors and legislatures in Blue states must either cut taxes or Blue states fall into further economic ruin. The forward brilliance to this move cannot be understated as Trump is the 1st President since the 1920’s to ever confront and stop the Democrats. If Democrats refuse to cut taxes in Blue states then a mass exodus will be seen from citizens and companies. Blue states contain the potential to revert to Red States over a short time. The next move is in Democrat hands.

What a great day and win for America. In 30 years as a student and Poly Sci professor, I never thought I would see this day. The political word Bi Partisan lacked meaning in word and deed in American Politics because Democrats never played the policy game fairly . Further question is will Trump tax cuts force Democrats to the table to address issues or will the Democrat Party’s unyielding obstinence see the Democrat party fall into further obscurity.

The second historic event is cut the UN budget as the United Nations since WW2 creation never worked and became an anti American organization especially in the Security Council.

From the Cold War to current day, Russia and American vetoes against each other stopped the Security Council’s policy progression to move forward. The Security Council was locked in place. The General Assembly where most nations reside always was an anti American arm of the UN. Few commentators recommend voluntary contributions rather than assessed. Why the League of Nations no longer exists is because voluntary contributions was the order of the day from WW 1 to WW2 and nations refused to contribute so the League failed and the UN was formed against assessed contributions. Another Great and historic day for America and day I thought I would never see in my lifetime.

Break Points

EUR/USD. Break Points 1.1771 and 1.1801 Vs 1.2006. At 1.2006 resides the 5 year average. A break then EUR travels farhigher and enters a new day.

AUD/USD. Break Points 0.7747 and 0.7700. Currently overbought.

NZD/USD. Break Points 0.7030 and 0.7027. I warned last post regarding NZD and AUD.
GBP/JPY. 149.56 Vs 153.30.

USD/JPY. 112.57 and 112.47. Both break then Watch EUR break 1.2006 and again a new day is upon us as EUR goes higher and JPY lower.

 

Brian Twomey