US Dollar Forecast to Rally Against Euro
Strong US Dollar rallies have led to significant shifts in Forex Trading Crowd sentiment, giving contrarian signal to buy the USD against the Euro and Japanese Yen. Indeed, EURUSD losses have been met with fairly aggressive crowd buying; the number of traders long the EURUSD jumped considerably and our contrarian algorithmic trading systems went short. As it stands, 3 of our 6 DailyFX+ trading systems are currently short the currency pair from 1.3475-1.3525 and initial targets are set at 1.3270. Whether or not the Euro continues to decline of course depends on a great many factors, but the recent shift towards US Dollar strength leaves us expecting further EURUSD declines.
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