I hope you all have had a prosperous year so far and that the markets have been good to you !
On Greenzone things are going steadily upwards, account is hitting the monthly 4% target consistantly since the daily target was set to double. It is really thrilling to see the growth, which now has been ruling since April last year, after the whole set up had an overhaul.
EURUSD has since then been as low as 1.0330 with the dredded parity looming, but the party didn´t last long and here we are now at 1.1650 , having been as high as 1.1683 ( for now ) . Good old Draghi must have been on speed at his June meeting , where he went from dovish to hawkish from one speech to another. Not something which is usual for him , but once the words were out of the bag, there was no return and EURUSD sky-rocketed to a 2 year high. Now consolidating, waiting for the FED tomorrow, to see what they have on the agenda. As no surprises are expected, we can expect it to be quite neutral, a lot more down to earth than just a few months ago.
Pretty ironically then Yellen was too optimistic and the market didn´t buy her story, Draghi being too pessimistic, but since Sintra , despite trying to talk the Euro down later, nobody bought that either. Is it just wishful thinking by the markets or are we really going to see the EURUSD trading higher? .
We could see some corrections, but without solid figures from the US it will be to no contest. The FED is still sticking to their hiking/balancing plans for now, but should the economy keep up the slack, we could very well see the EURUSD continuing upwards, ending the year above 1.20. I do for now see levels around 1.13 in the medium term, but my earlier predictions of the EURUSD ending the year around 1.16 seems a bit modest now. However we have seen the USDIndex at current levels around 10 times before in the past 2 years, so its like a last minute thing, as if it breaks lower it could be looking at the abyss.
Also Aussie and Kiwi have had a fieldday, the Aussie going for the 0.8000 level, not still there but putting up a pretty good fight for now. Also Kiwi is on the rise, but I must admit that both of them look tired for now, so maybe first a downwards correction, but like with EURUSD they do seem limited for now unless something dramatically happens ( has been seen before ) .. Also Donald Trumpis not living up to his promises and the ” Russian affair” seems to be a never ending story. I mean really with a government that corrupt, they should be applauding him really if he pulled that one off :-)
So for now all is going as planned, we did give the Kiwi a break when reaching 0.7400 as we do not wish to be dragging too many buys around at these levels. Should the Aussie reach 0.8000 we will also let that take a break until we get more confirmation of a continued trend.
Thats all from me today guys, apart from wishing you a wonderful and prosperous end of the month