How Low can the US Dollar Goes?

Posted on March 3, 2008
Filed Under Forex News |

eurusd-break-15000.jpg Despite the fact that the US dollar moved to an all-time low against the EURO on 27th February breaking the key psychological barrier of $1.50 for the first time since the 15-nation currency was launched in 1999, it seem clear that the fall is continuing.

Driving much of the US dollar’s decline were remarks about the weak U.S. economy by Federal Reserve Chairman Ben Bernanke, who hinted that the central bank would further cut interest rates by 50 bp on March 18th monetary policy meeting.

Many currency experts have predicated that if this Friday’s February employment report is as bad as economists are anticipating, the US dollar could continue its fall.

So, how low can the greenback goes?

Since breaking the key barrier of $1.50, the next ceiling may be $1.55 against the Euro dollar. As for the Japanese Yen, since breaking key support of ¥105 on 29th February, the fall has not been stoppable. The next near term near term mark may be ¥100 or ¥101.

Cheers, Kampai, Proscht^^!!

Comments

2 Responses to “How Low can the US Dollar Goes?”

  1. Apx on March 3rd, 2008 5:02 am

    You’re right on Yen, as the greenback hits pass the key level of 103 in earlier trading.

  2. Will FED Cut on Tues, 18 Mar 2008 save the US$? - ForexDiscover | Forex Discover on March 18th, 2008 1:59 am

    […] On Mar 08, I wrote the post How Low can the US Dollar Goes? […]

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