Forex Strategy Outlook

Our forex trading strategies have seen major gains on the US Dollar’s breakdown against key currencies, as the trend-following systems remain heavily short the USD through time of writing. It had increasingly become a battle of patience for breakout traders who have waited for the US currency to break below key levels. Now that the Greenback has finally broken, the question becomes whether we can see sustained directional moves in the Euro/US Dollar and other important pairs. A relatively muted response from volatility expectations limits optimism for continued trends.