USD resumes lower and EUR higher as speculators believe that ECB will follow the FED and sticks to hawkish policy despite the energy crisis and recession risk which has been highlighted by some ECB members as well. There is an impulsive activity on EURUSD pair with room for more upside but possibly after a pullback, ideally into open gap to be filled. US yields also not confirming USD strength for now, so I think USD will try to make something back first before weakness will resume. But generally speaking, I think that USD will be headed lower this week, especially when looking at strong stocks, metals, and crude oil. I will pay close attention to commodity pairs for more upside, but more about this in some of our next updates.
