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Why is the Euro so Strong, and Can it Continue Higher?

David Rodriguez

Video Summary:


- Euro Continues to Test Further Multi-Year Highs

- Our forex sentiment indicator leaves risks to the topside

- Low forex volatility prices suggest moves will be gradual, but Dollar likely to fall further


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Charts from the above video are posted below:


Euro Tests Multi-Year Peaks and Significant Resistance

forex_Why_is_the_Euro_so_Strong_body_Picture_5.png, Why is the Euro so Strong, and Can it Continue Higher?

Source: FXCM Trading Station Desktop, Prepared by David Rodriguez.


Retail Forex Sentiment Remains Extremely Bearish Euro

forex_Why_is_the_Euro_so_Strong_body_Picture_6.png, Why is the Euro so Strong, and Can it Continue Higher?

Data source:FXCM Execution Desk data, Prepared by David Rodriguez


Forex Volatility Prices Remain Very Low, Favor Slow Dollar Declines

forex_Why_is_the_Euro_so_Strong_body_Picture_7.png, Why is the Euro so Strong, and Can it Continue Higher?

Source: OTC FX Options Prices from Bloomberg; DailyFX Calculations



--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com David specializes in automated trading strategies. Find out more about our automated sentiment-based strategies on DailyFX PLUS.

Contact and follow David via Twitter: https://twitter.com/DRodriguezFX





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