Alright, my last maneuver shorting the euro was profitable, but less so than I hoped. Especially since I road it from the highs above 1.4 to finally covering a few days ago at 1.33-1.34, it yielded much less reward than it should have.
I am very confident that the euro is toast. In one way or another, they must make it weaker or there will be prolonged suffering in Europe. The news that the Fed and all the rest of the world was going to act in concert with one another spooked me, sure. But at best, the Feds actions are a promise to hold the dollar at its present exchange to the euro; same goes for the rest of them.
That’s no reason the euro should get stronger.
After the latest bounce, I’m feeling a little better that euro optimists have worn themselves out, so I started a half sized position in DRR for $42.53. This is a more leveraged product than EUO, which is what I was playing in before.
If the euro continues to strengthen, I’ll look to add some more up to 1.35-1.36. Much after that though and I’m selling for a loss; let’s not repeat my October this January, shall we?
The perfect outcome for me would be a prolonged period of the euro trading sideways here, while oil ramps higher for no reason, then a massive washout in the EURUSD after I’ve sold my UCO.
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Cain,
why dont you trade your pair in the cash market. Better leverage. Just dont gear yourself out. Too many trading a standard lot with $3k which is a guaranteed wipe out and cash to the house.
So you say no solution to the Ez this Friday I guess.
Hell no. I was wary they may have consented to print, but that’s just not the impression they’re giving now. In fact, I’ve consistently been given the impression they won’t print.
I just don’t see oil going higher or that much higher. It went to 115 earlier this year only because of revolt and uncertainty in the Middle East. Yes, it appreciated during QE2 but nothing too outrageous until all that strife set in overseas. I think the floor is $80 and the ceiling is maybe $105. That being said, I bought a little ERY lotto because I’m not expecting a kick ass move either way.
we’re pushing oil up … we need it to heat the barracks
So why make it more expensive?
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