EUR/USD at 1.3660. My models are saying that smart money may be entering the water to take profits on their short EUR/USD. Will the sharks eat the new shorts between 1.3660 and 1.3640 for today? Time should let us know.
now EUR/USD at 1.3648. Within less than 8 pips from 1.3640. update: EUR/USD now at 1.3642. Within 2 pips from 1.3640.
1.3642 was the precise bottom (so far). EUR/USD is now at 1.3670. Again, the big ugly money sharks took the money of the little guys shorting at the bottom. And guys: vote in shortie's polls and make it a habit when you visit ET, because shortie does a great job on these now classic threads that we all check as soon as we visit ET. In addition Shortie is a cool fellow Have a good day everybody!
Does any one know what explanations they have attributed to the fall of EUR/USD? Just one week ago, the explanations were EUR/USD is up and the reason is QE2. I do not believe in those explanations in casual sense, but it would be interesting to know what reasons they came up with to explain a pair doing the opposite of the explanations of only few days ago, backed by Fed statement. I also do not know if the Fed will actually print money. If words did the job, why print? If printing is easy, words are even easier. No need to buy ink, paper, and hire people to do the printing and the moving of the money.
EUR/USD now at 1.3612. I think I am going to buy for a quick trade, maybe back to 1.3660. Maybe today traders from Japan woke up with fat fingers, and did not take their coffee yet. So getting disoriented. But I may also get killed by their swords.
Terribly risky play the #1 story right now is Ireland's huge bank issues. Right now the trend is EURO is the weakest main currency followed by the US$. What if AIB suddenly announced they needed a bailout or were going under ? You'd be screwed on this.
Pair now at 1.3662. Aim achieved! Do you think it would continue? I think it will trade above 1.3660 in next 12 hours, but I do not know if this evening or tomorrow. So I give the Japanese a break. Maybe they will start selling again. Better safe than sorry. If they sell, buyers would be tested at 1.3642, after that 1.3622, where I would be waiting for them.
It is good to know about what they are saying, but as I wrote above, I try to only trust the price models. My problem is that I do not always believe the models not because of the models, but because of human emotions/psychology/etc.