This morning there's good news from Europe. France and Germany have agreed on a series of reforms to address the euro zone sovereign debt crisis. The Euro has strengthened against the dollar to 1.34. Markets liked that Angela Merkel said "We need binding debt brakes, which can be verified by the European court of Justice ... in order for the Stability and Growth Pact to hold,".

Still the issue remains that both Germany and France are currently above the Maastricht limit. France has 84.7% debt to GDP and Germany has 82.4%. Both of the two 'fiscal leaders' of Europe have a worse debt to GDP than Spain at 68.1%. They still have a lot to address.

Keep an eye on the dollar index as seen with 'UUP'. The dollar is still in an 'Up Signal' as seen on the weekly charts here:

http://www.chartsandsignals.com/ic-sig2.html