9/30 - LONG EUR/USD POSITION MEETS 2nd TGT [+724 PIPS] LOOK TO SELL EUR/USD

US DOLLAR INDEX: The 50-day moving average has supported the US Dollar's move back towards the 80 handle. This is in large part due to the aggressive weakness of the Euro. It was the clear loser today and could threaten major trend-line support near 1.40.

Strategy Summary: LONG EUR/USD POSITION MEET 2nd TARGET [+724 PIPS]
SELL EUR/USD AT 1.4152 FOR A 1.3900 1st TGT, STOP at 1.4296

9/19 - LONG EURO, ADJUSTED TARGET & STOP

US DOLLAR INDEX: The US Dollar Index has fallen on it's back foot after briefly probing above the psychologically important 80 handle. After suffering the initial blow due to the Lehman Brother's bankrupcy, subsequent counter-rallies have capped at the 10-day MA indicating a possible deeper retreat for the US Dollar that next targets the 38.2% retracement at 76.86 (roughly 1.4685 EUR/USD).

Strategy Summary: LONG EUR/USD at 1.3923, NEXT TARGET AT 1.4685, STOP AT 1.4205

9/11 - SELL USD (BUY EUR/USD)

US DOLLAR INDEX:

The US Dollar has edged above the key 80 handle and is now probing 80.42 (December 2004 swing low) . We believe this important pivot will hold and recommend selling the Greenback at current levels. While, negative divergence on several daily studies hint at a short-term dollar top, the major components of the Dollar Index have each found temporary solace. A 6-year bull trend-line at 1.39 should limit EUR/USD downside, the GBP/USD & AUD/USD are both being supported by key retracement levels, and the USD/JPY is threating to lose it's 100-day moving average support. Moreover, the GBP/USD and EUR/USD are both trading within a falling wedge (bullish).

Strategy Summary: LONG EUR/USD at 1.3923, 1st TARGET AT 1.4205, STOP AT 1.3873

9/03 - Inching towards key fibonacci retracement levels

US DOLLAR INDEX:
The US Dollar has extended through the December 2007 peak and is now inching towards a key fibonacci retracement at 79.05 (38.2% of 2005 high to 2008 low). Meanwhile, the EUR/USD, which failed to maintain a recovery above the 10 & 14-day MA's, has broken below it's key long-term trend-line at 1.4580 (connecting 2005 & Aug 2007 lows) and is also nearing a key 38.2% retracement. We remain dollar bulls (euro bears) while trading above a cluster of moving averages (10, 14, & 20) .