It has been a contrarian trade that has not yet worked out; by that I mean my short position on the Euro and preparation for a firming US dollar. Yesterday the market cheered the supposedly dovish Fed, and USD got smeared again as the world’s counter party paper boosted assets far and wide… on nothing but perceptions and a hell of a lot of momentum and gaming on FOMC day.
USD opened weak again today but so far at least, is sporting a Hammer which, if it stays in play, would be a bullish reversal candle.
Before I take off for the balance of the day (there are other posts already in the queue), I’ll just share a few ETF charts and some words on each:
First of all, I’ve pretty fairly well prison-raped lately by commodities (oil, gold) recently, so I’m tending to stay away from the likes of DRIP, ERY, JDST, and the like (even mild stuff like GLD). The moment of truth is at hand for commodities (DBC), but, again I’ve had enough for now. No thank you.