Good morning everyone,
Ai Shiang ask if I still holds a short view. Well, I still hold a short view on eurusd. I will give a personal analysis of these two currencies. This is just a personal opinion, feel free to share your opinions guys!
In my personal opinion, both currencies are a battle of who can keep the currency weak and euro zone with so many countries and now using borrowings to keep the countries from default is definitely not an easy task to sustain. Furthermore, not many countries in euro is able to support the debt crisis, mainly Germany and France only.
So will there be more countries falling in the debt crisis? ECB definitely cannot let euro continue to strengthen right?
However, US currency is already quite low and their debts are already a mountain high and no doubt that they are already having a recession and they are still in. Keeping zero interest and was downgraded by Moody but US currency is still not weakening but trading low at the support. If you look at US dollar index, it has been consolidating at the support.
So now which currency have a higher chance of weakening more?
Therefore, today, I still favour picking short around 1.4475 with SL 50 pips. Target exit is around 1.4350.
Aaron Si Heng
ReplyDeleteLove the analysis!! :)
I have been asking myself that now both currencies are not in a good shape. News are also rather confusing. Thanks for the analysis by the way.
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