Wednesday, June 17, 2009
USD Ranging Dangerously
Last week, the United States Dollar seemed to be rising. Major pairs involving USD like AUDUSD, EURUSD and GBPUSD showed that the trend was going to end. But then again, today, as US news was released, the trends look like they are going to resume.
GBPUSD, EURUSD and AUDUSD are showing signs of climbing back up. Dojis and spinning tops can be seen at the bottom. However, there is also a probability that the rise is temporary and also part of the reversal process. Such serious trend reversals usually do not happen in a day or two. It may take weeks, and before it fully reverses, the price will counter-trend up and down and this might be part of that process.