Today, its a big day, we will get the US CPI data out from, which are expected with 5%, number that may deifnde next bull/bear move for the USD. If data is going to be above 5% then expect dollar to rally as FED will have room to lift rates further after strong jobs on Friday. If data willbe well below 5% then I think dollar will fall further, which is somehow technically expected based on the latest Elliott wave development. Looking at DXY, we see three waves up to 102.40, and now another minor (A)-(B)-(C) rally from the lower channel support line. Break below the trendline will liekly make a room for a push to a new low and that’s when I think USDJPY can fall as well. I will have a close eye on USDJPY for potential shorts, still this week if US CPI data will confirm the technicals of course. Waiting for now.
-(B)-(C) rally from the lower channel support line. Break below the trendline will liekly make a room for a push to a new low and that's when I think USDJPY can fall as well. I will have a close eye on USDJPY for potential shorts, still this week if US CPI data will confirm the technicals of course. Waiting for now.){kind=link}