Long EUR/USD At 1.3170 – Watch Me

I rarely trade this piece of junk, in that the fundamentals rarely align to offer me the kind of moves I look for. In this case though – as the USD looks to have made its “counter trend rally” over the past few days, coupled with some additional fundamental factors, I will be exploring several “long EUR” trade ideas through Monday and possibly Tuesday before seeking entry.

I generally stay away from the EUR as fundamentally it is a complete mess. As well the EUR has external forces pushing and pulling at it (as it is the second most widely held currency on Earth) that often effect its movement with little or no fundamental reasoning. It’s hard to call it a safe haven, it’s not commodity related, and its current economic position has it sitting in the junk pile so – what’s a guy to do?

I consider it a trade – and nothing more.

What might be interesting to some of you (looking to improve your short  term trading skills as well your fundamental analysis) would be to watch the EUR this week against a number of different currencies, and observe a few things you likely won’t expect to see.

I won’t give it away now but….as the EUR may rise against the USD in value – perhaps it may fall against a few others. Can you spot them? Can you tell me “why”?

It’s great to be back in the saddle again  – and I look forward to another profitable week trading with you.

4 Responses

  1. John Wright February 11, 2013 / 5:19 am

    1.3170 is not out of the question.
    The euro has been honouring the median line on this daily andrews pitchfork which stretches back to june last year.
    If it were to reach the median line on Tuesday, that would equal 1.3112.
    Chart here :img692.imageshack.us/img692/4884/eurusde.jpg

    • Forex Kong February 11, 2013 / 8:01 am

      Anywhere in there suits me fine John – as I draw my trendlines and lines, of support and resistance with a crayola crayon – not a laser pointer.

      Nice work there. If indeed EUR pokes down that far – I think it looks like a real nice one – 1.40 even if all goes well.

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