Chuck Butler mentioned yesterday in the Daily Pfennig that, for the first time since 2005, Futures Traders are going long the US Dollar. 2005, you’ll remember, was the year of the dollar’s counter rally in this downtrend.
Nothing goes straight up or down, so we’ll see if this is the start of some sort of dead cat bounce for the US dollar. Be careful and consider this when making your trades.
I should follow some of my own advice – I snuck back into the Japanese Yen Sunday night, and snuck back out Monday morning, taking my usual haircut on the Yen. It’s getting to be a bit of a joke, even around here, as I was walking around the house cursing the Yen – even my wife yelled at me “Stop trading the Yen, all you do is lose money! Stick to commodities!”