There is a volatility virus in the present markets as good news and bad news are amplified beyond th...
After Tuesday's High, an Opportunity to Go Short Euro/Dollar
08/30/2017 2:51 am EST
Trading strategy: I’m watching for an opportunity to go short euro/dollar (EUR/USD) with a stop near Tuesday’s high, writes Jack Crooks of Black Swan Capital at the close Tuesday.
DXY Daily [last 92.34]: Tuesday, August 29, the U.S. dollar index extended to almost exactly a key extension target measured by extending minor Wave [i] by 161.8%, a standard measuring technique we utilize.
The low Tuesday was 91.62—the target was 91.65.
And what is interesting is the fact both the euro and yen put in big reversals Tuesday after reaching their highs against the dollar (the euro and yen make up the bulk of the weight of the US dollar index).
Trading strategy: This could be the level where we finally see a sharp counter trend rally in the U.S. dollar, just as many players have thrown in the towel.
I’m watching for an opportunity to go short euro/dollar (EUR/USD) with a stop near Tuesday’s high.
Wave 1 down View
Related Articles on FOREX
The postponement of the key Brexit vote has hit GBP/USD and put UK Prime Minister Theresa May’...
Equities are bouncing, markets are back to bargain hunting as the U.S./China trade talks continue, a...
Brexit weighs on British pound, euro. Yen spikes and falls back. Bill Baruch, president and founder ...