My views on the EUR/USD for the Next Few Weeks...
Hello my friends. I hope that you are indeed enjoying the freebies. With cash flow returning to the US the Dollar is experiencing its first real surge in while as are interest rates. That all bodes well in the long run for the US economy but could be problematic in the near term for those carrying lots of debt (which is everyone) from the corporate powers to the individual consumer. It is not easy to get a society hooked on easy money off it. The Fed will find out how the junkies respond in the not too distant future when they are not able to purchase their goodies as a result of higher payments on their debt. As I mentioned a long time ago once you start down the road (much like crystal meth addiction) you can't just simply go "cold turkey". You see the Fed may understand a lot about money policy but I suspect that no where in their MBA's or PHD's in economics or business was there any sort of thorough study on addiction.
As the Dollar rises the EURO is poised to break out of its sideways momentum that it has been in for about two years now having done very little of anything. As I mentioned in previous posts this is the time that you want to be in the market for the next month or two as the market makes a strong rise in the US Dollar affecting all the currencies that central banks would rather have a little weaker, like the GBP and the EURO, not to mention the CHF.
You can see how my fibonacci's are set up and simply use them as a reference point as this is what the large institutions are looking at.
As the Dollar rises the EURO is poised to break out of its sideways momentum that it has been in for about two years now having done very little of anything. As I mentioned in previous posts this is the time that you want to be in the market for the next month or two as the market makes a strong rise in the US Dollar affecting all the currencies that central banks would rather have a little weaker, like the GBP and the EURO, not to mention the CHF.
You can see how my fibonacci's are set up and simply use them as a reference point as this is what the large institutions are looking at.
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