Why is everybody expecting the EUR/USD to rally?

Here is a small piece we wrote on the retail positioning and why the shorts should look out: EURUSD ready to surprise traders? | TradeWiseFX

Hi TradeWiseFX dont take this personal now what i write below please, im reffering to the article not you.

How much more evidence do you need (now after you heard a broker telling you "dont go short on EUR/USD) to actually look for short positions?

Haha

Excellent…

:slight_smile:

Good point, Turbo…

Besides, non-commercials (e.g. hedge funds) may be lightening up on Euro short (futures) contracts,

but they are nowhere near done with selling the single currency:


(Source: https://www.oanda.com/forex-trading/analysis/commitments-of-traders )

Maybe there is an inconvenient truth, that we may not be made out of retail trader material… :S

sorry im writing from my phone now so nevermind the typo

the problem with eur/usd right now is that we have a huge bubble formed up on the dollar. wehave a lot of carry trades developed on the dollar since the last crisis. the fed is wery well aware of that and has to take that into consideration on interest rate changes as: a higher dollar value initiates the close of many carry trades. higher interestrates initiate even more closes of carry trades.
the problem with closing many cqrrd trades is that the carry trades on the dollar hqve become a huge factor for the world economy as investors used the cheap dollar to buy assets kn emerging markets. partilly that waw one of the resons ontothe heavy china reacrion of january after the fed increased its rates.
after i wrote a long article of that the fed should increase interest ratesminimum to 1% (if you still remember that thread) i was wondering what was wrong in mylogic abd why i assuned wrong. foubd out that the fedhas heavy issues to not danqge the world economy by making carry trades on the dollar too unlucrqtive in too short time and investors pulling out too much money in too short time out of emerging markets.

as the euro is the biggest opponent of the dollar i cqn completely underdtand why everyone is shouting “buy euro buy euro” even institutions and banks etc.the peopleare beeing blindfolded into lowering the value ofthe dollar in order to prevent a bubble from busting.

call me crazy but the peoplecan be blindfolded only for some time abdnot forever.so lets see what the eur/usd is going to do. blindfold people abd itgoes above 1.15 and startrallying (as it did after the fed interestrateincreaselast december completely against any logic or economical rules and values) or the fed loosibg its power to influence markets and pushes the world economy into a bew recession (an its abouttime as the 7-8 years circle of crisis abd boom in fknishing this year).

No offence taken TurboNero, but just to make the point more clear the article is informative not a trade suggestion and offers insight into retail positioning which is fact not an opinion. Crowded trades are something to be aware of and take into consideration but does not mean a short position can’t be profitable, in fact, February was very good for retail traders with a similar short position near the resistance. Anyway, one should trade a proven system not on random tips on forums :slight_smile:

I talk about the Euro in my new FreeFX video, by the way…

Go to Forextown and follow the thread link there :slight_smile:

WHAT I don’t trade on random tips from forums!! No…no…no.nononono BRB:(

Gonna watch that one. Am curious if you play the guitar for background music… :slight_smile:

:smiley: Funny…

Sadly not… It’s all rather serious haha

hey pip,

i have to admit i never seen any of your videos but dont think anything wrong, it is not because im not interested it is simply because my speakers system on my computer broke down in december and i was simply too lazy to fix it by now.

but u know what, now that you force me i will fix it tomorrow or the day after and watch your video!

-= talking to myself: damn a forum forcing me to drive to media store and put up with traffic and annoying people in downtown :17::17::28: =-

edit: by the way; i liked ur old pic more then the buddha, you look good, you dont need to hide behind a pink buddha

Haha how can you survive with no sound on

the computer …I would get the jitters :wink:

No worries, you are not missing much, just

me babbling on about currencies, you know

the kind of thing ;p

Thanks, may the buddha wish you strength

on your downtown adventure haha

dont know what im missing but i definately want to see what youre up to in your videos :smiley:

seems i was right, Eur/Usd going down nicely today. to bad im not trading forex and didnt make any profit on that :frowning:
and Toekan hitted his guess perfectly, went to 1,147something and turned around,i hope you managed to get in at that point Toekan :smiley:

if i were in that trade now id definately stay till 1,075 minimum. take some nice 700 pips profit

Yes, I entered short @1,1425. :slight_smile:

Objective was to test the script and that was a success as well. Found some errors that made me miss some set-ups, but it is working fine now. So Yesterday was a happy day, allthough a loss due to the error, but that was recovered today. :slight_smile:

I am waiting haha

For today, EUR/USD failed to break below the $1.193 swing low on Wednesday, with the pair instead rallying back towards the recently respected $1.1286 resistance level.
We are awaiting a breakout from this range as a signal of where we go from here, and until such a break happens we are likely to remain rangebound.

The USD way overshot the upside on the price charts, obviously.

All the most watched markets attract predictors. And they all want to say something of interest. If a price is falling, who would be interested in reading that price has been falling and price is still falling and price is going to continue to fall? Nobody.

Predictions of dramatic price rises are interesting as they are news, they mark a contrast and most people reading are not already invested. So whenever price falls, predictions appear that it is about to rise. But these things mean nothing - unless you believe its always right to buy something whose price has fallen - because it has fallen. In which case the further price has fallen, the more urgent the need to buy now.