Euro vs Dollar

We had mentioned early last year that the Euro could surpass the Dollar and that now seems to be the thoughts of economists. A good reason to perhaps consider this is not just because the Dollar is so weak but more so because the Euro has President Trichet behind it and the Dollar has Bernanke and without any doubt if you were to choose a corner you would have to choose Trichet.

We are not suggesting the Euro will take over next month or even next year but the future does look bright for the Euro. Realistically it maybe a decade before this could happen but it seems like it is now more likely than it was in 2001.

On topic of the Euro we can still see we are holding at the fib level since yesterday so we are still looking for a breakout. Those using our DD strategy will still be in this with a very good profit in the last couple of days but with a tight stop now.

Have a great weekend.

Forex Analysts
Javid Shaik & Anne Chapman