I am sticking with this call.
The Dollar has come too Far and is about to fail and come back down into the mid 90’s. The Yen is about to STOP going down finally and everyone who just went long this chart post election below is about to get run for a 7% drop to 106-108 ish. This was the snap back form the extremely oversold levels for a long period (all of 2016) of time.
With the USDJPY going down, this is why the Euro is about to bottom. The reward is NOT down in the EURO. It is up. Check out the chart below, the euro was down 1.21% last night and has not ripped back up to bounce off of OBVIOUS support. EVERYONE thinks the Dollar is going to 120 and the Euro is going to go to under 1.000.
EVERYONE thinks this. Bullish Dollar. Bearish Euro. Consensus is usually wrong and I think this is one of the most Crowded trades right now. I’m looking for this level in the Euro to HOLD. And if it does and heads back towards the top end of the range I am looking for it to bust through 1.15. The reward is up not down.
Gold is going to bounce here…I’m not worried about this. Go ahead and short this now and get your head ripped off. At least probably 1250, then reconsider if it was a bounce or if this is the generational bottom.