Whether you are a new or seasoned investor, the EUR/USD is one of the most widely traded currencies in the world. With this being the case, it is important to know how to trade the market and how to keep up with the most up-to-date news and events.
Getting to the bottom line is important in any trade, but with an aging economy and a slowing labor market, the euro is in danger of taking a dip. Hence, it pays to keep your wits about you. Luckily, there are some ways to navigate the treacherous waters. And the best part is that you get to decide for yourself.
To name a few: Using a resale account for your brokerage, buying a stock for the dividend, and a smidgen of discipline, you can trade in style. The best way to do this is to use a free trading platform like TradeStation. The platform offers several ways to set up your trades and monitor your progress with a free dashboard. It also includes a robust mobile app that allows you to access real time trading data anytime, anywhere. You can also choose from a range of other features, including a built in chat function and a host of other tools and resources to help you get the most out of your trades.
One last item to mention: It’s a good idea to read up on your brokerage’s products and services before jumping in headfirst. There are many options, but the best way to go is to find a broker with a solid track record and a stellar customer service team.
United States Dollar
Getting a glimpse into the trading view of the United States Dollar is easy enough when you take a look at the Dow Jones FXCM Dollar Index, which tracks the strength of the US Dollar against the four most liquid currencies in the world. It is a joint venture between S&P Dow Jones Indices and FXCM, a leading currency exchange.
Having a better understanding of the value of the dollar and how it relates to the other main currencies will enable you to make better trading decisions. This is especially true when you consider that a lot of trades are based on the value of one currency versus another. By comparing the values of the major currencies, you can get a clearer picture of how much they will cost in the future. Traders should also be aware that currency values will be affected by interest rate decisions. By comparing the rates of the major currencies in a given time frame, you will be able to gauge which of the various rates are most conducive to the growth of your investment portfolio.
During the NY session yesterday, the USD index made a strong move. This is the first time in quite some time that the Dollar has shown a significant level of resilience in the face of the vagaries of the Fed’s monetary policy. The FOMC is heavy this week and will likely have a big effect on prices.
Those who want to trade the EUR/USD pair have to be careful not to buy the euro. If the European economy is a mess, the EUR/USD could fall. It is also important to watch today’s economic data.
The US Dollar is still strong against the euro, but there could be some weakness. This could be due to the interest rate differential between the ECB and the Fed. Depending on what the ECB does, the value of the euro can be weaker. On the positive side, the EU economy is doing well. It beat GDP expectations. However, there are some negative news from the EU economy. This could affect the value of the EUR/USD pair.
USDEUR is trading in an uptrend channel since 2008. A break of the channel would be good for a higher high. If a break occurs, the price could fall back to the support level. Alternatively, a triangle pattern could be formed, which could go lower. This pattern is related to today’s CPI data. In any case, the price is manipulated, and could get into a hammering session.
It is possible that the pair could fall to 0.95. If the market falls to that level, it might be a good opportunity to sell. The pair is currently trading above a strong resistance line, which can mean that it is going to continue to move higher. If it breaks below that line, the euro might fall back to a daily low.