DislikedHi Jaylovin,
quick answer from an parking bay LOL (adicted)
Do not misunderstand me here: I am all for that the market is mainly driven by mood and not fundamentals :-) If I wood think the other way I could not do EW. Social mood does not need an extrinsic factor to be trigerd from good to bad. But especially in currencies there are sometimes fundamental forces that can not be ignored. At least for a short or intermediate time.
I for one only take notice of the heavy fundamental data, like interest rate decisions or for example the things...Ignored
quick answer?? LOL
ok this will be my last post also - then we continue later or tomorrow... i still have a problem with your belief in fundamental forces... lets take some examples here...
Trichet, Bernanke all say things which 'supposedly' sends the markets wild...
you and i were both analysing with EW a down move from 1.3620 when it reached there during tokyo session.. the next day we in luck as EU dropped around 80pips to 1.3540.. it was also a Friday.. next thing you know the markets shoot up violently for around 300 pips taking out my SL all because Leornado of ECB - a new kid on the block 'mentioned' rate hikes... 300 pips up?
so... now we're at 1.49... hovering around... both my mentor's said markets would turn here for a correction... 1 days later, USD unemployment claims come out and its bad for the USD... within 15 minutes the Euro falls 100 pips.. fundamental reason?? Trichest makes dovish comments about the euro... over the next 3 hours we have a 400 pip drop...
now... 1.4650 area... Euro drops again around 400 pips up to thursday just gone... fundamental reason?? - ECB talk about RAISING rates...
but errr... shouldn't the euro be rising? i may have it all completely wrong here my friend... if i do, i would appreciate someone to give me an idiots guide...
jim rogers is bearish on the dollar so he bought it... more and more people might carry on buying the dollar... this may naturally prevent the dollar from getting stronger as those with control would drive euro prices higher, taking out as many positions as possible... if there's only 5% usd bulls and that amount reduces to say 1% USD bulls... the effect of euro going higher speeds up rapidly no?