Leveraged sellers in EUR/USD behind the latest dip | Forex Factory

Leveraged sellers in EUR/USD behind the latest dip | Forex Factory

Leveraged sellers in EUR/USD behind the latest dip

From forexlive.com

Market’s now targeting the 1.3800 barrier which in the current climate will probably get popped, before a bounce. We’ve just been down at 1.3820 now as bounces become very shallow. Bids reportedly sitting down below at 1.3770 and 1.3750

Comments / Top
Subscribe

Sep 9, 2011 5:30am

My Analysis:

If we close the week below 1.3800 today, then we're most likely heading to 1.20 eventually. Of course we will get bounces along the way, the first of which we may see on Monday up to the 1.3980/1.4000 area before accelerating downwards.

If, on the other hand, we manage to close the week above 1.3840, then we'll have to see if we get a significant enough rebound next week before making any further calls.

Sep 9, 2011 7:23am

Quoting AaronWard

Disliked

Learnin Lots of factors. USD started to go up early last week. Two of the many factors are that the USD is a safe haven currency during a global downturn and that people are beginning to hope/fear that QE3 will not take place.

Ignored

Take note that the euro equities and us equity futures are going up. So is US oil. This might turn out to be a risk-on day, in which case the euro will post a rebound (although probably quite limited). So don't take any short positions for now.

Sep 9, 2011 10:23am

Quoting The Oracle

Disliked

eur/usd at parity by year end is a possibility.. just my wildest thought.. by that time, euro must be knocked down hard..

Ignored

I am targeting the 1.31 area in the near term as long as the Greek and Italian issues are still on the headlines. However, if there is a turn around in the situation, be aware that the euro can very easily return to 1.40 and above.

Sep 9, 2011 1:03pm

Quoting cichy

Disliked

EUR/USD sat on strong support at this moment. I wonder if it will rise while sellers take profits before weekend. Some signals say so...

Ignored

The strong support you speak of is a declining trend line of the two previous lower lows on the weekly chart. A bounce was expected here and we may even see a retrace on Sunday/Monday before retesting it. By then it should be slightly lower. Also consider that price has reached the 61.8% fibo level from this year's low to this Year's high. If the sentiment temporarily turns neutral for long enough, the retrace may be significant.. as high as the 50% fib at 1.39 area. That would present a perfect opportunity to take another short.

Sep 9, 2011 1:17pm

Quoting cichy

Disliked

Yes Sir, this is exactly what I was trying to point.

Here's one of my today's drawings :-)
http://www.forex-strategie.pl/downlo...&mode=view

Ignored

Perfect. We're on the same page.

Sep 9, 2011 6:00am

Learnin Lots of factors. USD started to go up early last week. Two of the many factors are that the USD is a safe haven currency during a global downturn and that people are beginning to hope/fear that QE3 will not take place.

Sep 9, 2011 6:27am

Learnin -- Go on line and google it. And google QE and quantitative easing. Read about it on the Wikipedia. And then go up to the search box on this site and enter QE into it. By the time you have done that, you should know all about QE. Good luck.

Sep 9, 2011 12:02pm

it's going to fall until buyers step in. for the last 2 weeks the volume profiles suggest only sellers here which makes me believe it will dip further. a possible retrace early next week will bring another opportunity for shorting, however it may be possible to continue falling in a straight line.

Sep 9, 2011 12:53pm — Edited

EUR/USD sat on strong support at this moment. I wonder if it will rise while sellers take profits before weekend. Some signals say so...

EDIT: Looks like the market stopped. Well then, have a nice weekend folks!

Sep 9, 2011 5:33am

Guys, The movement south by the Eur/usd is not really a movement of the Euro down. It is a movement of the USD UP. Take a look at the other USD crosses.

Sep 9, 2011 5:39am

Even gold is going down against the USD.

Sep 9, 2011 6:50am

Learnin, Thanks in advance for being resourceful next time. You have a good attitude.

Sep 9, 2011 10:06am

eur/usd at parity by year end is a possibility.. just my wildest thought.. by that time, euro must be knocked down hard..

Sep 9, 2011 1:08pm

Yes Sir, this is exactly what I was trying to point.

Here's one of my today's drawings :-)
http://www.forex-strategie.pl/download/file.php?id=1272&mode=view

Sep 9, 2011 5:43am

its 1.38 now ... I think it will go down once the US session begins although on a good enough note to pull the Euro down.

Ashwin

Sep 9, 2011 5:52am

@AAron.. The possible reason for this I think is because yesterday's Obama speech.. We still havent got any critics for the new proposition (bill).

Sep 9, 2011 6:23am

simple but might sound stupid .. what is QE3 ?

Sep 9, 2011 6:30am

@AAron Thanks for being resourceful !

Sep 9, 2011 6:12am

I think the likelyhood of hitting parity is becoming evident from a medium to long term perspective.Sounds like a longshot only time will tell.

Sep 9, 2011 9:37am

@PipTrapper: Thanks for sharing, it put my mind at ease a bit.

Trader#F9D2

Sep 9, 2011 4:41am

here we are monthly S2...small buy, small lot only...

Trader#3345

Sep 9, 2011 5:10am

price just SNAPPED up from retest to 3787, didnt look shallow that time

we'll keep watchin

Trader#E9FA

Sep 9, 2011 6:34am

guys,don't panic it 'll bounce back on monday !!!!!!!!!!

Trader#E9FA

Sep 9, 2011 6:42am

then again if it crosses the level mark, it might not bounce back, but in fact it could just go lower....

Trader#F94A

Sep 9, 2011 11:40am

gosh... after years of trading... i realized that it's not for everybody...., maybe you right PipTrapper... 1.31 is possible in short time...

Story Stats

Sep 9, 2011 4:29am
Posted by
Newsstand

Medium Impact Breaking

25

6,183