Web Statistics war of currencies - aussie dollar predictions

Monday, 13 May 2013

war of currencies - aussie dollar predictions

war of currencies - aussie dollar predictions

Well it looks like its back to RISK ON again as good trade figures came out of China just days ago. The Aussie dollar is staggering right now, but is this just a temporary dip or something bigger. Late last week we saw a crunch back down to almost parity because the US dollar surged quickly breaking through the 100 yen level for the first time in 4 years.

This is because markets are staring to anticipate the feds exit from Quantitative easing. What we have learned last week is that reserve bank is powerless against the foreign exchange markets and all that matters right now is what other markets and currencies are doing, especially the US dollar and the yen.

Japan is driving down its currency just like the US did back in 2009 / 2010 but is there a war of currencies going on?

I think that the protagonists deny this of course, as they say certainly not. They are mumbling to themselves whilst cutting interest rates and printing money to help the economy. Its a polite war of currencies, but a deadly one at that. The worst thing is that Australia is going into this war of currencies unarmed.

If you have a look at the chart of the Aussie dollar it has broken support under the 1.02 level and looks quite weak at the moment. 

aussie dollar predictions
war of currencies break out


Further falls in the Aussie dollar are coming in this war or currencies whether we like it or not, and the next drop will probably come when we least expect it. The vultures are circling that is for sure. Even George Soros  is said to have shorted the Aussie dollar just days ago. If this is correct he would have made off like a bandit!

Another billionaire Stanley Miller say he is shorting the Aussie dollar in this war of currencies too, and  he is convinced it is going to come down hard!!!!

I will be the first one to admit that Billionaires are not always right, but they are right more often then not, so if that is anything to go by we might have some big trouble in the Aussie dollar brewing in this war of currencies. Maybe it is the right time to be battening down the hatches here, time will tell. 

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP



Powered by 123ContactForm | Report abuse

No comments:

Post a comment