One of the most crowded trades recently with instability in Europe, trigged by the crisis in Greece, is short the Euro and long USD. Wall Street continues to place bets that the dollar will continue to get stronger, and hedge funds cashing in on the Euro weakening. The most difficult question to answer is when will this trend reverse? I read an interesting article on The Daily Trading Report that predicts the downside in the Euro may be over. With nearly a record amount of short positions, the author states that the Euro may rise above 1.38 with a high probability of short covering.
Tags: amount, article, author, author states, bets, covering, crisis, Daily, dollar, downside, Euro, Europe, greece, hedge funds, instability, Positions, probability, question, record, report, Short, trades, trading, USD, Wall Street
