The famous 'PIGS' appear in the forex market since early of this year. It affected the Forex Market like storm, Big Boys who knew the problem sell the EURO since November 2009. Interestingly, they only come out the acronym 'PIGS' which catch the world attention late December 2009.
For those who new in Forex Market, 'PIGS'=Portugal, Ireland/Italy, Greece, Spain. Greece is the first target of the media because of the nation debt due soon. The amount of 2.6% of the total of Euro GDP isn't a great number but enough create a havoc and fear in the market. The EUR/USD dipped from 1.51 to current level at 1.35 clearly show that Big Boys are the one who can control the market direction. EU nation slammed the big boys/speculators for overblown the issues but cannot take any stern action. The self reinforce process keep the EURO sliding. It shows the power of the big boys.
Out of the 4 countries, Greece actually is not create a huge problem but Spain is more severe if the fiscal problem is not contended. Even overall sentiment for Euro is negative, please don't simply sell Euro if you don't know the games well. It may burn your fingers easily if you enter the wrong time.
I start to look into fundamental aspect and blend it with TA to enhance my trading skills, the results is even greater then purely depend on TA. Of course, psychology aspect still playing an important roles in my trading strategies.
