With the widely expected U.S. Fed rate decision impending, trader expectations of a rate cut have already led to dollar weakening and euro strengthening. From a technical perspective, the dollar has been well-overbought against all the European currencies, and exhaustion in dollar momentum has been due for some time now. The FOMC rate decision may indeed be the catalyst for finally establishing a firm top in the dollar and a bottom in the EUR/USD. Technical updates to come after the decision.
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2 Responses to “Dollar Weakness - Euro Strength”
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dear sir , its all ok but i am in this business since 5 yrs , i couldnt understand the tics, spreads, move up and down so fast due to crunch these days , did i only feel this dificulty or all people see the same thanks if u reply abbass
Hi Abbass,
Thanks for your comment. To be sure, this is certainly a volatile market that moves up and down rapidly, often without any reason that’s obvious to most traders. You are definitely NOT alone in feeling frustration over market moves these days. Just hang in there and tighten up your risk management - things will eventually calm down, and sanity will return. Thanks, Abbass!
- James