EUR/USD, A Short Term Bull case

EUR/USD pair might have some bullish opportunity left. A few weeks back it touched the 200 DMA and then fell back. Then in last few days Euro again attempted to cross 50DMA but couldn’t muster the courage. However, the MACD, RSI and stochastic all seems to be giving an indication that it might be preparing for a next move-up.

XDE is something that can be used to play bullish option strategies on this. However, one needs to be careful as the FX markets are volatile and depending on FOMC announcement, it may have some wild moves in either direction. So if you do decide to follow this trade, pls do your due dilligence and plan your hedge accordingly.

As of this writing I am long EUR but I may close it anytime that I find appropriate for my trading strategy.

Profitable Trading, OP


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One response to “EUR/USD, A Short Term Bull case”

  1. OptionPundit Avatar

    What a reversal soon after FOMC announcement. Those played it short term as soon as it broke support (in stead of break resistance) probably made a good sum.

    But a classic example where supposedly bullish wasn’t bullish

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