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MarketsFloor
Feb 6, 2016 4:26 PM

Get Ready for a Dive in EURUSD Short

Euro Fx/U.S. DollarFXCM

Description

Risk Off trades to be seen in coming weeks... Equities Failing... Price Action of EURUSD also suggests to drop some more pips...
Comments
MarketsFloor
Well in an easy answer....
I used to follow fundamentals before, the politicians, the finance ministers, they will WHACK you always with various tones... So this year i have said to myself.. Just follow PRICE ACTION.. Simply do not care what ECB does or Fed Does.
I just listen the talking of the Charts

And what it tells me currently i see a Dip... BUT... i have a tight stop loss as well intact, if it moves upside...

However, i have been watching Equities, they give a sign of further drops.. Indicating Risk off to be seen... which in play will push EURUSD downside too..
simonsays452
I like the idea! Love shorting Euro and Draghi would love nothing more, but IMO, short Euro is a strong dollar play. I do think the Fed is going to end up being more hawkish than the market's pricing in of 1 hike in 2016, but I don't see the return of massive USD strength like last winter or this December. Moreover, I don't see enough deterioration in European data for Draghi to be able to outmaneuver Widesman. What say you?
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