If you’re wondering what’s been going on the in the U.S. Dollar look no further than the five minute chart.
There is the interest statement from the Bank of Japan. There is some talk of the BOJ raising rates but this would be a break from the current approach which has been to keep the Yen low.
The 30 minute chart of the dollar shows the near term support at 78.50 and if this level is broken expect prices to re-visit the 78.20 low.
The Non-Farm Payrolls number was an encouraging number for those who were concerned about a soft landing and recession.
The recent rally in the U.S. Dollar has shifted from an uptrend to neutral which is to say that the next leg is yet to come.
Forex traders cannot analyze the pairs in bubble. There are three key commodity futures contracts that must be followed each day – if not every trade.
The USD/JPY continues to congest on the daily chart between a narrowing triangle pattern. This set up has traders looking at 116.00 and the near term high at 116.07 as a decision level for where a sustained breakout could strengthen.
The U.S. Dollar Index weakness has become a well-known and often-discussed news item. The weakness is such that it has crosses the chasm from active traders and into the consciousness of casual market observer.
The 82.00 level in the U.S. Dollar Index should not be underestimated. It’s a very slippery slope north of 81.80 to the psychological 82.00.
The Dollar had been trading within a nice range 84.20 to the upside and 83.80 to the downside. Both major psychological numbers and both with multiple tests.