Greek Vote Revives Hope among OpenBook’s EUR/USD Traders

Earlier today, the Greek parliament approved still more austerity measures which would bring the country one step closer to securing the second bailout loan which would prevent a disorderly default. It did not come without a steep price, however, with 43 ministers ousted for vetoing against the measures in support of the public’s outrage. Nonetheless, the approved measures provided a boost to the common currency Euro, which is trading as of this writing at 1.3248, and closing in on the 2-month high struck just last week. On the OpenBook, trader sentiment for the EUR/USD is largely bullish with quite a few gurus including Hschinner who opened up a long targeting 1.3270 leading the way.

OpenBook traders are also clearly very active in gold, and given the continuing uncertainty in the Eurozone, it’s not just understandable but logical. OpenBook trader peischen, who has 91 copiers and 782 followers, has been scalping long positions in gold over the past several trading sessions including one earlier today. Over the past month, this trader has allocated more than a fourth of his portfolio to gold which has returned 1.8%; one earlier opened buy position is now approaching break-even. Trader jean1978 is another OpenBook trader who also favors gold, has allocated more than 18% of the portfolio in the past month to return almost 9% and a recently closed long yielded a 33% return.

The Eurozone uncertainty will not ease with the Greek vote; many observers believe that the latest austerity measures, which gave rise to violent protests throughout Athens, will likely continue and could escalate. The Greek finance minister acknowledged that Greeks were making extraordinary sacrifices but urged the Greek populace to consider the alternative as worse. The resolve of Greece’s politicians’ remains in question, and considering past broken promises, the E.U. policymakers have said that they will not give approval for the second bailout until they get a firm commitment from the coalition government. Whether Greece’s politicians can follow through on that commitment when faced with near anarchy also remains to be seen.