EURUSD dropping, is that real?

Is it real? Is it? WTF

Why wouldn’t it be real? Look at the run-up from June 23 to today in advance of the rate decision.

A rate hike was fully-priced in on broad-based confidence of .25% increase, dragging the EUR/USD to short-term overbought levels.

Trichet had alluded to a probable rate hike (though he disavowed that in his press conference today) but only as a one-time measure, not the beginning of a prolonged loosening cycle. That is dovish (EUR negative) not hawkish.

NFP came out at 0830 ET today, worse than expected but not nearly enough to move the market substantially against the USD.

The net result is a decline in EUR/USD.

rate hike = EUR/USD positive or NFP down = EUR/USD positve is grossly oversimplified. Always make certain to take the larger market context into account if you decide to punt on the news. Most retail traders attempting to trade news volatility are on a fool’s errand.

Buy the rumor, sell the fact.

Set your buy/sell order 10 Pips above/below high/low.[B][/B]
Anyone can explain? High/low of what? And is it 10 pips above to buy and 10 pips below to sell of high/low?

Thanks for your help.[B][/B]

I’ve answered this here: 301 Moved Permanently