The ongoing set of political changes in the Middle East have taken another turn as the Egyptian military has given President Morsi forty-eight hours to successfully deal with the current crisis. Hundreds of thousands of protesters turned out for largely peaceful protests on Sunday, June 30. The nation has come to a political impasse. What will happen? Only the Egyptian military knows. Our concern is the Forex response to a military takeover in Egypt. The short term Forex response to a military takeover in Egypt will likely be positive. That would not have been the case some months ago if the military had stepped in to replace a democratically elected government. However, the Islamic based government of Mr. Morsi was elected by a thin margin and insists on governing as though it had received a huge mandate at the polls. Considering the chaos into which Egypt has fallen, the Forex response to military takeover in Egypt will likely be a huge sigh of relief. Major versus Minor Currencies and the Crisis in Egypt The fundamental analysis of Forex pairs hinges on trade balances, employment numbers, political stability or the lack of it, and stability of the regime in charge. Egypt is doing poorly on all counts. In trading currencies one needs to compare the prospects of one currency against another. The values of minor currencies of the Middle East will reflect the threat of continuing chaos in Egypt as well as the nearby civil war in Syria, about which we write in Forex and an Expanded War in Syria. On the other hand the United States economy is improving, interest rates are going up, and the dollar is climbing against other currencies. China on the other hand is still flirting with a real estate and banking crisis. Nevertheless, the degree of promise or threat to these major currencies, or the Yen, Euro, British Pound, Australian dollar, or Canadian dollar is substantially less than that to the Egyptian currency. In short, it will be less complicated if you trade the Egyptian pound against one of the major currencies instead of against another currency volatile currency from the Middle East.

1. Forex Response to Military
Takeover in Egypt
By: www.TheForexNittyGritty.com

2. The ongoing set of political
changes in the Middle East have
taken another turn as the Egyptian
military has given President Morsi
forty-eight hours to successfully
deal with the current crisis
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

3. Hundreds of thousands of
protesters turned out for largely
peaceful protests on Sunday, June
30. The nation has come to a
political impasse. What will
happen? Only the Egyptian
military knows.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

4. Our concern is the Forex response
to a military takeover in Egypt. The
short term Forex response to a
military takeover in Egypt will
likely be positive.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

5. That would not have been the case
some months ago if the military
had stepped in to replace a
democratically elected
government.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

6. However, the Islamic based
government of Mr. Morsi was
elected by a thin margin and insists
on governing as though it had
received a huge mandate at the
polls.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

7. Considering the chaos into which
Egypt has fallen, the Forex
response to military takeover in
Egypt will likely be a huge sigh of
relief.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

8. Major versus Minor Currencies
and the Crisis in Egypt
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

9. The fundamental analysis of
Forex pairs hinges on trade
balances, employment numbers,
political stability or the lack of it,
and stability of the regime in
charge.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

10. Egypt is doing poorly on all counts.
In trading currencies one needs to
compare the prospects of one
currency against another.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

11. The values of minor currencies of
the Middle East will reflect the
threat of continuing chaos in Egypt
as well as the nearby civil war in
Syria, about which we write
in Forex and an Expanded War
in Syria.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

12. On the other hand the United
States economy is improving,
interest rates are going up, and the
dollar is climbing against other
currencies. China on the other
hand is still flirting with a real
estate and banking crisis.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

13. Nevertheless, the degree of
promise or threat to these major
currencies, or the Yen, Euro,
British Pound, Australian dollar, or
Canadian dollar is substantially
less than that to the Egyptian
currency.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

14. In short, it will be less complicated
if you trade the Egyptian pound
against one of the major currencies
instead of against another currency
volatile currency from the Middle
East.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

15. Short versus Long Term Forex
Response to Military Takeover
in Egypt
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

16. Many who are demonstrating in
the streets in Egyptian cities are
angry that Mr. Morsi and his
people have not instituted a
government that addresses the
needs and concerns of all of the
people of their ancient nation.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

17. But, much of the power of this
movement to unseat the current
president comes from people who
believed that Mr. Morsi would
improve the economy, create jobs,
and make their daily lives better.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

18. Certainly the institution of a more
balanced government with a more
balanced approach to many issues
would make many of the protesters
happy.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

19. However, it remains to be see if a
military government or
government backed by the military
could restore calm, put people
back to work, encourage tourism,
and generally improve the lives of
the people of Egypt.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt

20. The long term Forex response to
military takeover in Egypt will likely
depend upon how well the next
president, assembly, and advisors run
the economy and put people to work.
If they do well the current chaos could
be seen as a foreign exchange
opportunity for the savvy trader.
By: http://www.theforexnittygritty.com/forex/forex-response-to-military-
takeover-in-egypt