Thread: The Euro/Dollar Dance

The Euro/Dollar Dance

By Sol Palha
Jan 22 2010 4:29PM
www.tacticalinvestor.com

Imagination is more important than knowledge. For knowledge is limited to all we now know and understand, while imagination embraces the entire world, and all there ever will be to know and understand.

Albert Einstein ,1879-1955, German-born American Physicist

In the last two weeks of December we made the following comments

In the short to intermediate time frames, we would like to point to several new factors, which suggest that Gold could potentially pull back more, the dollar could mount a stronger than expected rally which should lead to a rather strong pull back in the Euro and other competing currencies. Certainly, the dollars rapid move from 74.57 to a high of 78.50 has caught a lot of traders with their trousers down. Full Article http://www.kitco.com/ind/palha/dec212009.html

And on the 16th of December we made the following comments

In the short to intermediate time frames the dollar is projected to mount a rally; it has already mounted a rather decent rally from its lows. http://www.gold-eagle.com/editorials_08 ... 20409.html Gold and most competing currencies are expected to pull back. We mentioned this in our recent article “The Gold bull; time for a breather or? â€

If the US $ strengthens very fast interest rate increases will not be far behind.