Monday, September 7, 2009

Next trading week even you could be Right On The Money..

OK, I'm going to make this short and sweet! Especially after when you know that I was not going to post anything at all today since it's labor day, but I can't help sharing this hopefully major opportunity on the horizon next trading week. It's pretty clear. Forex markets around the world already open, however I'm banking on a major pull back in the stock market on Wall Street! September is notorious for being slow and I expect the DJIA to drop at least a few hundred, which automatically impacts the pair in the spotlight in this 'Right on the Money' episode. You guessed it right, the EUR/USD. I found an amazing article on FX360 which only amplifies and confirms this potential trade.

Already the pair is in my opinion severely overbought. A price of 1.43 is nuts and it's only a matter of time to see it collapse. That time may have come sooner then I first anticipated. In fact it may happen this week, if not this month. Whatever the situation is, shorting this pair is not a dumb idea. As always we'll see what happens.

Disclaimer:

All opinions expressed, trade recommendations/advice on this website are solely of John van der Munnik and are not affiliated with any investment firm or any other organization. You should not make an investment only based using this website VDM Trading for your trading needs without seeking help from your own financial advisor.