The dollar will rally. But only for a bit as the markets digest etf unwinding and enron loophole closure. The Euros can only cut rates so much and we can only raise em so much. I see about 85 dollar crude at the lowest and that's bloody high. Stagflation and a severe credit deceleration is what we are witnessing.
Right now USD is going back up to test a major break out line, in a year of so, it will start a fast journey to 50% correction. Best way to get rich is to catch a macro trend...........internet in 90s, real estate from 2000-2006 and oil in recent 4 years. Sector rotation is the name of the game like trying to break out of the fortress and meeting different challenges. Got to use different weapon at different times.
Smart money have the ability to play the media like an orchestra play the violin and the trumpet etc and itâs human nature for those in the audience to be entranced or mesmerized by music. The markets are played back and forward to the tune of the smart money while the dumb money are captivated by these calls. The media who carry the tune to the public are largely vehicles of manipulation and or are manipulators themselves. The dollar will do what it will do and Smart money are just noise, to listen to the likes of Smart money is folly for the trader, itâs like putting your trust in a snake oil salesperson or the mafia. Strange how too often smart money arrive late at the party. I suggest trade what you see, not what you believe or are led to believe. For many this will be difficult as it means one needs to think for themselves.
Smart money is just that....smart. Trading what you see is all very well but it's sometimes wise to listen to what the smart money is saying and doing, after all some of these institutions and big players have an army of top analysts and economists at their disposal as well as reasearch and information about order flow that the average retail trader never sees. The forex market isn't easily manipulated due to it's sheer volume, least of all by the media, if the media has it then it's probably old news anyway. Thoughts and opinions about market sentiment should be informed, not based on little more than a whim without anything substantial to back it up.