Trump Stomps on the Dollar, Again
Skerdian Meta • 1 min read
The US Dollar gets another kick in the balls from Trump. Just a few words about devaluation and currency manipulation and the Buck loses more than a cent.
Damn, that´s all it takes to send the market crazy and, of course, forex traders too. Our long term EUR/USD signal just hit stop loss. This is turning into an ugly day so we´ll be extremely careful.
You don´t know what you´re trading nowadays. It´s coming from all directions and the techs are out of the window. No support or resistance level looks safe enough now to put your money on.
EUR/USD broke a few pips above the big 1.08 support/resistance level, USD/JPY finally cracked 112.50, so no buy signal now, while GBP/USD completed a round trip and finds itself now nearly 200 pips above today´s lows.
EUR/USD pops the 1.08 resistance level.
All Trump said was that China and Japan "plan the money market" and that other countries take advantage of currency devaluation (meaning China and Japan… and probably Germany with the ECB mon pol; the list is long).
No one knows how far Trump might go with this currency war thing, but the market seems convinced now that he will definitely do something about it.
This means that either other countries will have to let their money markets flow freely and their currencies get stronger or weaken the Buck too. Either way, it´s not good news for the USD.