Wednesday, April 6, 2011
Trend for 6th of April 2011
Today I want to talk a little bit about eur/usd. The pair is at a very important level now. It has broken yearly highs today and could be going much higher. In fact, it could travel thousands of pips now. It does not mean that it will though. We have very important economic data from both Europe and Great Britain tomorrow. There will be announcements about interest rates from both regions. So, the breakout could be confirmed, or there will be a radical reversal and euro will go down. The same can be said about gbp/usd.
To tell the truth I am more inclined to think that there is going to be a reversal and eur/usd will retrace down. It has been running up with minor retracements since the 9th of January 2011. I think the bulls must be pretty tired now. However, tomorrow and later in the week we are going to see what reality is. Maybe they are not tired at all and eur/usd will see a huge trend up. I expect a trend up to start somewhere in the fall, but it is for big dogs and not me to decide. So, do not have your own opinions, but simply follow the market wherever it takes you.
Read my previous posts:
Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.