Posts by "kam"

Long EUR/USD into 1.2600-1.2650 then let rip the shorts....

once against USDCHF long went in at 9265 post NFP. monthly hammer, stronger US fundamentals, Euro debt issues will almost certainly resurface next week once the rate hike circus is over (regardless of 25 bp increase). we all know flight from euro is correlated with flight from CHF to USD. No brainer!

USDCHF long a no brainer first target 9500.

Kam

Amazing Euro strength. Despite all the concerns with Portugal (which is totally akin to Greece) and Spanish downgrades, Euro is flying. Why? becuase interest rate hike expectations (and these are only expectations with no certainty or amount) are more in focus the soveriegn debt issues, regardless of fact that every rationale investor should know that these bailouts are like putting water in a bucket with a leak, and sooner or later the money used to bailout will be worth junk, akin to printing money really, but the way Euro is rallying, what do i know!!

All i can say is the previous 2 occasions where Euro tanked from 1.6 and 1.5, Trichet should have just come out with rate hike rhetoric and saved Euro from tanking!!!! seems to work this time.

Needless to say this is why i trade on technicals and use Fundies only for bias or selecting pairs, because charts tell you what traders are doing where as fundamnetals tell you what traders should be doing, which lets admit know one knows...

Kam

agreed. but if you look at both the previous occasions when it reversed from trendline resistance, Euro was superstrong at upto the point where it met the weekly resistance. Also if you loook at correlation tables EURGBP and EURUSD are not consistently correlated. But most importantly this is a low risk, high reward setup which actually led me to enter short. I am next week's event risk will be just the catalyst to make this come good.

Kam