Short the Euro

[tradingjournals]

e/u at 1.3949. Are long sharks (who were short sharks) entering the waters?

 

[nitro]

Quote from Tsing Tao:

No, the banks that need to raise capital are being forced to buy euros as loans are called in and assets are sold off. I'm sure the usual momentum funds are in there chasing away and the robots are attributing this to "BUY ES", but that is the way it's going.

Until it doesn't.

Shorting it is stupid.

I assume you mean European banks? Can you connect the dots for me on this? Is there a web link that I can read that shows this set of events occurring?

 

[Martinghoul]

Quote from tradingjournals:
e/u at 1.3949. Are long sharks (who were short sharks) entering the waters?

What is it with you and sharks, tj? Why not tigers, piranhas or chimps?

 

[mister_doodi]

I went long on eurodollar at 1.3983.

 

[chaykapwr]

First target would have been

1.37665

 

[tradingjournals]

Quote from Tsing Tao:

No, the banks that need to raise capital are being forced to buy euros as loans are called in and assets are sold off. I'm sure the usual momentum funds are in there chasing away and the robots are attributing this to "BUY ES", but that is the way it's going.

Until it doesn't.

Shorting it is stupid.

It fell 400 pips from 1.4220 area to 1.3820 area, since the above explanation. Where are the banks that were "forced to buy euros as loans are called.."? I knew it was a bullcrap-type of explanation. Whoever believes a short lying person like Sarkozy is not very intelligent. The sad thing is that if there are just a few who do believe, and talk about it, they infect others.

 

[tradingjournals]

Quote from Tsing Tao:

I gave you the reason, you've chosen to ignore it. Smarter folks than you or I have also come up with this reason.

E/U at 1.3710 down from 1.4210. It went to the 1.3670 area earlier. A more than 500 pips fall in a short amount time.

If the "smarter folks" exist, they should have been short, and not long.

 

[Tsing Tao]

Quote from tradingjournals:

It fell 400 pips from 1.4220 area to 1.3820 area, since the above explanation. Where are the banks that were "forced to buy euros as loans are called.."? I knew it was a bullcrap-type of explanation. Whoever believes a short lying person like Sarkozy is not very intelligent. The sad thing is that if there are just a few who do believe, and talk about it, they infect others.

Just like most of the pikers on this site. Whine about it when it's not going your way, crow about it when it finally does (broken clock).

 

[Tsing Tao]

Quote from nitro:

I assume you mean European banks? Can you connect the dots for me on this? Is there a web link that I can read that shows this set of events occurring?

Sure, Nitro. When I get t to the office, I'll go find my links (other computer). But it essentially goes like this: European banks are forced to raise capital, and thus sell assets, raising Euros. Repatriation, if you will. That's going to go on for a while as banks there get weaker and weaker.

The question is, will it overcome the equivalent dollar repatriation that comes with a sharp sell off.

 

[nitro]

Quote from Tsing Tao:

Sure, Nitro. When I get t to the office, I'll go find my links (other computer). But it essentially goes like this: European banks are forced to raise capital, and thus sell assets, raising Euros. Repatriation, if you will. That's going to go on for a while as banks there get weaker and weaker.

The question is, will it overcome the equivalent dollar repatriation that comes with a sharp sell off.

Right, I understand those dots. What I mean is, what information sources do you use to arrive at those conclusions. is it a Bloomberg terminal, a web site, some amalgamation...