Markets on Tuesday: USD Regains Some Lost Ground
Rowan Crosby • 1 min read
Forex Markets have bucked the trend on Monday, lead by the USD which is making a turnaround. The trend has certainly been to the downside in recent weeks and this was the type of action we might typically expect on a Monday.
Especially given the fact that we have some big news on the horizon which is likely to shape things on a more fundamental level. Of course, I’m talking about the FOMC Statement and US non-farm payrolls.
Typically traders might try and reposition themselves to protect from any sharp turnaround. Given that the majority appears to be short the USD then some retrace early in the week is to be expected.
Stocks declined for the first time in a number of sessions, and that was in a large part thanks to the change in tone of the Greenback.
The Cryptocurrencies have stayed relatively quiet of late which is a change of pace. With Bitcoin (BTC) still hovering around 11,000.
Where to for the USD?
The Greenback is still a sell for me and I’m looking to be trying to have a downward bias below 90.00. There should be quite a bit of resistance around that level to hold us down.
But as mentioned the fundamentals are going to play a big role this week.