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Euro's Big Rise May Find Trendline To Be Powerful Force Of Resistance

Published 01/19/2017, 12:58 AM
Updated 07/09/2023, 06:31 AM
EUR/USD
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EWW
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FXE
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DUST
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JNUG
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The market is stuck – absolutely stuck in the mud – for the past month. Range-bound. Contained. Dullsville. In any case, the blog must go on, so here are a few random remarks.

I mentioned yesterday how the big rise in the euro (via Guggenheim CurrencyShares Euro (NYSE:FXE)) might find the trendline to be a powerful force of resistance. So far, so good (see arrow):

FXE Chart

I am so glad I didn’t ditch my Direxion Daily Gold Miners Bear 3X Shares (NYSE:DUST) long position. It lost nearly 10% yesterday, but it’s back to breakeven now. I still have big dreams about just how battered precious metals miners could get. The chart of Direxion Daily Junior Gold Miners Bull 3X Shares (NYSE:JNUG) below shows this best.

JNUG Chart

Finally, I keep adding to my Mexico short, by way of the iShares MSCI Mexico Capped (NYSE:EWW) fund. The erosion (tinted) is slow and steady, and this could be one of the cleanest trades of 2017.

EWW Chart

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