Short term trade-The Euro

I think that short term, you can look for a rally in the Euro. There are lots of shorts in it, looking for it to go to 1.10 vs the US Dollar. Technically, there are gaps above the market that could be filled. There is a yawning gap at 1.30. It could go there. I am not the only one that thinks so. Jim Rodgers made the case on CNBC’s Squawk Box this morning.

I wouldn’t be married to it. There are deep problems in Europe, and we will see when they roll their debt over how the market digests it. The short end of the Eurodollar contract tells me that no one believes any rally in the stock market.

What is really a shame is that the market is no longer data driven. It’s being guided by what happens in the back rooms of politicians offices world wide. When the politicians get out of the way, then this thing can trade like the old days. Until then, fasten your seat belt.


The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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