The euro had a good run but you should be looking for the door. Could drop all the way down to 1.3667. I don't mean tomorrow but long term.

are you a forex prophet?

no not a prophet just looking at my charts and everyone is bearish the dollar usually time to look for exits. What goes up must come down.

Econ 101

weak dollar = cheap goods from US
cheap goods = more people buy
more people buy = Huge rally

Well you get the idea.

In that order of idea:

The rally haven't yet begin at my opinion. But it should not stay that high for ever. It make sens. The USA economy is not yet at the the lowest low. the Dow Jones have reach is lowest point, but nothing say that another floor won't be broke.

Keeping aware for the next show!
Later!

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..4.Nov.08.. IN10TION newsReader v09.85 Lite - the best news reader on your chart

I know we are talking about the Euro but have a look at this. If the Dow rallies support for the dollar, Euro falls.

Hope this helps.

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Thx for the insight! Totaly in relation whit subject here.

So lets see if it bounce or just fall for another phase of the usa recesion story.

Later!

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eurusd_20080710_001.gif

Bouncing off D1 support.

Salmon colored dots are the fib projections.

Friday's surprise!!!!! 1.5907.... Hehe!

Stay tune 4 the show!

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No surprise really markets need to retest the top the market is working as it should all this bad news and the yen is hardly moving. Remember when this all started credit crisis; the yen rallied big time. Now so much bad news you would think the dollar is becoming extinct.

I think not, everything looks cheap in the US. It will take some time to sort out the mess but the US looks like a very good place to invest in right now. I’m talking long term.

Markets can’t go up forever they need to correct. As for the Euro it is overvalued by 20% at least. But is seems to be tracking oil as oil goes up the Euro goes up the blind following the blind only headed for disaster.

It is really a good time to be a trader. Lots of opportunities on the horizon.

A strong Euro is not in the best interest of Europe it hurts exports, companies will be looking for cheaper places to manufacture there goods. Can’t manufacture them at home Euro too high, what do I do close plant and move to more cost effective country to manufacture my goods. Lost of jobs economy goes into free fall.

But remember the trend is your friend, until it ends.