The Euro and RoboAdvisor…a Love Story

OMG… The Euro

Jesus H Christ…The Ruble

For [email protected]$^#&k sake…How can interest rates be negative?

From 10,000 feet, all these trends seem obvious.

At ground level, where people live and money is made and lost, it always feels surreal.

The recent strength in the US dollar and Euro Weakness has almost zero affect on my life in Coronado.

I do have a good friend and client in Italy (Tuscany) that reads my blog and buys stocks that I mention. She has real life drama like you and me, but her market thermometer is set to a $VIX of 4. She has NEVER called me about an idea she had for the markets until yesterday.

She was wondering if it made sense to buy some US Dollars.

At about the same time, my friend Chris Kimble, who probably knows about as much about currencies as she and I posted this chart:

Haven't seen these in a decade plus, reversal points with sentiment like this! $EURUSD $USDJPY $SPY $TLT

— Chris Kimble (@KimbleCharting) Feb. 3 at 11:03 AM

I did not share this chart but I did mention to her that unless she planned on spending a lot of time here or plans to buy a house in the United States, that best she not panic at this time and we would set up a plan in a month if she felt the same way.

Obviously the most interesting thing is how long the Euro panic took to reach her and her reaction when finally understanding that it could be affecting her investments.

If only she had a robo advisor to take the fear away.