Given the conflict an increased aggressive Russia there may be a political risk in the process of being priced in some European countries currencies.
Also given the sanctions there is a weakening of the economy such as the Polish which has some trade with Russia even though Germany is the largest.
According to the McD Index, Poland has one of the most undervalued currencies but this is useless information in the short or medium term.
Irrespective of this we see a strengthening of the USD that is approaching a balance extreme that may break so we either go long or short at this position. When studying the chart one could infer some type of a cup and handle pattern but I am not very keen on that paradigm.
Also given the sanctions there is a weakening of the economy such as the Polish which has some trade with Russia even though Germany is the largest.
According to the McD Index, Poland has one of the most undervalued currencies but this is useless information in the short or medium term.
Irrespective of this we see a strengthening of the USD that is approaching a balance extreme that may break so we either go long or short at this position. When studying the chart one could infer some type of a cup and handle pattern but I am not very keen on that paradigm.