The forex market has been moving like a rollercoaster recently. This is especially true of the U.S. dollar—the debt crisis it seems has only confused people as to what a stable price for the dollar should be set at. A recent five day chart reveals that the dollar swung violently in comparison to its value against the Euro; the fluctuations took place between one dollar equaling between 1.410 and 1.440 Euros.

So how do we make sense of this? This is a difficult question to answer because we can’t really pinpoint a correct answer just yet. The U.S. market has been struggling in the wake of the debt crisis and the dollar should drop in value. Just how much a natural drop in price should be is up for debate and will probably not truly be determined anytime in the near future. Instead, the market will remain volatile as it corrects and over-corrects itself as investors and traders attempt to find a price that makes them happy. In the meantime cash back Forex is the only smart model to trade.

You can harness this unrest to make money for yourself. Because we know that the dollar should drop in value as compared to the other major currencies, we can use the general momentum of this trend for longer termed trades. This doesn’t mean buy and hold indefinitely, but exchanging our dollars for a week or more just might prove to be a prudent move given the greenback’s current woes. If you are a day trader, this might seem like an eternity, but for position traders this will be a natural sort of trade.