Risk Disclaimer: The content published by this account is for demonstration purposes only and should never be considered financial advice.
Unless the dollar breaks this trendline or key support level. The problem with where the USD sits, along with other pairs like the EUR/USD, is that they are at levels where sellers of the dollar are waiting to see if they want to take profits, and buyers of the dollar are hesitant to trade with size until they see reversal signs. This combined with a lot of speak from the FED and ECB officials this week has created an environment that we expect to see much more of in 2016 - sideways trading. On the other hand, volatility could pick up quickly if this dollar breaks support here on conviction. Truly, this is an environment where it's okay to play, but very important to keep position size relevant.
Unless the dollar breaks this trendline or key support level. The problem with where the USD sits, along with other pairs like the EUR/USD, is that they are at levels where sellers of the dollar are waiting to see if they want to take profits, and buyers of the dollar are hesitant to trade with size until they see reversal signs. This combined with a lot of speak from the FED and ECB officials this week has created an environment that we expect to see much more of in 2016 - sideways trading. On the other hand, volatility could pick up quickly if this dollar breaks support here on conviction. Truly, this is an environment where it's okay to play, but very important to keep position size relevant.