The Euro/usd 0.50 cents thread (long term)

[Splitlink]

I see countries wanting to join the Euro but non wanting to leave. My view is that there is nowhere to go for the countries in the EMU. Even if they default on debt. I dont think it is possible to go back to the punt or peseta or drachma. The markets would crush them. The Germans and French will not allow the other EMU countries to inflate their way out of debt like the UK and USA. The Germans in particular are aware of the consequences. I also think that Sterling is going to suffer and the UK could go bankrupt. The Euro will probably do reasonably well because of the complicated nature of the European Union. USD will stay strong in the short term, being the world reserve currency. Long term I see it coming off badly and eventually being replaced as the reserve currency.

I think that you are, absolutely, right.

I don't know much about currency matters, but isn't there a danger that this "quantitive easing" could not be used by individual countries, to the detriment of the whole?

Like foreign policy, financial policy could, also, be a matter that cannot be controlled by Brussels if a particular country decides to print cash. We all know how successful European foreign policy is!

 

[RidderTrade]

euro/usd could be heading above 1.43 after a pullback..., but what seems the most probable, does not always come true..
like this surprise rise of equities last week.

 

[RidderTrade]

well.. euro/usd could not hold above 1.4250.. , lets see now

 

[RidderTrade]

again failed to stay above 1.4250 , however a move to higher 1.4x is likely later

 

[RidderTrade]

have a nice weekend

 

[RidderTrade]

will be on break tomorrow

 

[RidderTrade]

well well finally some decline in the euro..

dont be fooled euro will always fail

 

[RidderTrade]

well well,ahead of a interesting week

 

[babycakes]

1.4418 now

 

[RidderTrade]

yeah, but selling pressure in usd is fading, you already see this

 

[RidderTrade]

well well.. this will not have much more downside left this usd

 

[RidderTrade]

probably one more leg lower

 

[RidderTrade]

good luck all

 

[RidderTrade]

heavy week

 

[RidderTrade]

time to exercise.. ridd.. 1..2..3..4...5

 

[RidderTrade]

well, well.. finally usd can have bottomed.. next week we will know about it..

 

[RidderTrade]

resistance is stiff for gold around 938/940 and euro usd around 1.4100.. normally this will cause some bounce.. but if it blasts through it.. euro will fall rapidly to 1.3x

 

[Microscope]

The euro will not collapse, since the U.S. dollar is rebuilding again. Everything revolves around the united states, since they are recovering, the Euro will have its chance to build.

 

[RidderTrade]

euro will collapse

 

[RidderTrade]

usd looking nicely now..