The Euro Extended Its Gain above 1.19

The euro continued to extend its gain against the U.S. dollar.  It is trading above the 1.19 level at the moment.

The EUR/USD sudden selloff to as low as $1.1815 last week amid the Catalan election results was very short lived. 

The euro is changing hands above the 1.1900 level currently amid the continuously broad U.S. dollar weakness.

The latest advance was encouraged by the U.S. worst-than-expected data.  The weekly unemployment claims for the week ended December 22nd came in at 245K, which was above the forecasted 240K.  The goods trade balance’s deficit was $69.68 billion in November, which was worse than the expected $67.7 billion. Lastly, the wholesale inventories rose to 0.7%, which was also worst than the expected 0.4%.

I think the U.S. dollar has run out of the bullish incentives in the short term.  The tax bills have passed.  It needs something new, but there isn’t any in sight.

Trading is also quiet due to the holiday lackluster trading activities.

There have been no activities from my MT4 EA since the last update.

The strategy can be found here.

The latest result can be found here.

Leave a comment

Your email address will not be published. Required fields are marked *