USD Buyers Take Advantage of European Holiday to Stage the Next Attack
Skerdian Meta • 1 min read
Most of Europe is off today for Whit Monday. I thought it was going to be a quiet day today, but you can never predict how the forex market will behave or be too sure about the USD nowadays. The price action today has been respectable for a bank holiday Monday.
The first thing that you can spot right away from the charts is the advance of the Buck this morning, again. Last week was another great week for the Buck. It made some considerable gains and closed the week on Friday at the highs, particularly against the Euro and the JPY.
EUR/USD lost around 250 pips top to bottom last week. You’d think that there would be a retrace higher or at least a period of consolidation until the cards reshuffled and the market refreshed, before the next attack from the USD bulls. But it seems that the attack has already begun with the new week.
EUR/USD is making new lows today, but there is this major support level at 1.1710-20, although we will cover this forex pair in depth in the next forex updates. USD/JPY opened with a small gap higher and it started pushing further upward immediately as the market opened.
This sort of price action points to some serious USD strength. The market turned bullish on the US Dollar last month and seems like it isn’t reversing anytime soon. In fact, the USD bulls are pushing further this morning. So, the US remains upbeat this week and we remain bullish on the USD. Now, waiting on a pullback on USD pairs to buy. EUR/USD is pulling back higher, so we’re following this pair closely in order to open a sell forex signal, stay tuned.