Friday, February 8, 2008

Long USD, But With Tight Leash


I have been long the US Dollar Index since Feb 5th. It is trading above its 50-day moving average. If it doesn't close outside the Upper Bollinger Band today, I will close out my position with a small profit. I have a very tight stop on this one. I'm not going to hold it over the weekend unless it shows signs of additional strength.

One reason for the strength of the USD may be explained in this article:

Gold Traders See Through ECB's Smoke and Mirrors