Forex – What I Like / Dislike 01.25.13

Date January 25, 2013

Will be on CNBC Street Signs this morning and wanted to give you a sneak peek of my notes:

I like EUR and AUD

For EUR:
- All of $ that was parked in Switzerland and U.K. for safety and now its coming back
- Strong German data means IMF and others could be underestimating EZ growth
- ECB begins taking back liquidity with LTRO repayments

- Sharp move lower not warranted
- Chinese data consistently surprising to upside
- RBA will leave rates on hold

I dislike

- Triple Dip Recession Risks
- Investors and central banks dumping GBP
- Talk of EU Referendum weighing on currency

- BoJ Easing, need I say more?
- Yen weakness not helping trade much give territorial dispute with China
- Strong uptrend, keep buying USD/JPY on dips (or selling yen on rallies, depends how you want to say it)
- Incoming BoJ Gov in April could speed up open ended asset purchases

More on this topic (What's this?)
Difficult Year for Forex Brokers.
Forex Profit Signals
Read more on Forex at Wikinvest

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