Fundamental Analysis of USD/SEK
Posted: Thu Apr 19, 2007 10:35 am
Hi,
I have USD/SEK as my main currency pair and would like to share my analysis with you as I think it's a pretty solid bet .
Swedens economy is at it's top . The economy is blooming with unempolyment rates dropping. We have a new right-wing government that has lowered the income tax and completely taken away the annual Real Estate Taxation. Instead they have increased the taxation from 20 to 30 % if you sell property. This will propably force the central bank to increase interest rates with atleast 0,5 % if not 0,75% . Even the government thinks so in their budget( released this week) which caused the SEK to strengten even more this week.
The real estate prices are soring to unreal limits and there is not doubt that the interest rates must be raised. On top of this warning signals are starting to show in USA in the property and real estate . AS USA has ridiculous high foreign trade deficit and other major problems this will not be negative for the USA. I think USA have set their mind to correct the foreign trade deficit , specially with China.
Today the USD/SEK stands at 1/6,78 . Once my account is set up I will take the back on SEK with a goal of 6-6,30 within the next 5 months.
GL!
I have USD/SEK as my main currency pair and would like to share my analysis with you as I think it's a pretty solid bet .
Swedens economy is at it's top . The economy is blooming with unempolyment rates dropping. We have a new right-wing government that has lowered the income tax and completely taken away the annual Real Estate Taxation. Instead they have increased the taxation from 20 to 30 % if you sell property. This will propably force the central bank to increase interest rates with atleast 0,5 % if not 0,75% . Even the government thinks so in their budget( released this week) which caused the SEK to strengten even more this week.
The real estate prices are soring to unreal limits and there is not doubt that the interest rates must be raised. On top of this warning signals are starting to show in USA in the property and real estate . AS USA has ridiculous high foreign trade deficit and other major problems this will not be negative for the USA. I think USA have set their mind to correct the foreign trade deficit , specially with China.
Today the USD/SEK stands at 1/6,78 . Once my account is set up I will take the back on SEK with a goal of 6-6,30 within the next 5 months.
GL!