This, among other things, gives USD bulls still hope into the next few weeks. The other thing is that friday’s London fix played in their favor, too. We saw strong topping at EURUSD, GBPUSD and every other major USD related pair. EU now touched the old bullish trendline for the 3rd time…first and second time we got good pullbacks…so considering the PA and chart setup, we should see a 3rd pullback. The question is how deep it will go. I am still having the same bear target on EU, which is 1830. Friday’s NFP move didn’t change it, just gave me an opportunity to get better entries. GBPUSD again tested the 1.40 area, as so many times in the past few weeks, since february, and was rejected every time before…and again today. And since “all good things come in threes”, we have USDCHF re-testing the 9000 area again, which is a very strong support! All these things considered…shorting dollar from this point on is very risky and offers a very bad risk to reward ratio.
