Talking Points:
- The US Dollar[1] is softening a bit after a failed test at the 11-month high earlier this morning around the European open. The potential for continued pullback remains as we move into the last couple of trading days ahead of the end of Q2; but complicating that premise is the fact that we have quite a few high-impact drivers remaining on the economic calendar for tomorrow.
- Equities remain under pressure after a flare of strength yesterday was soundly faded out of the market. In the Dow Jones Industrial Average, prices are approaching a key element of chart support[2] as derived from a trend-line taken from swing lows in February, April and again in March. This could present interesting reversal ideas as we move into Q3; and if the selling pressure does persist, a break below the February low could usher in the prospect of longer-term bearish strategies in the blue-chip index.
- DailyFX Forecasts on a variety of currencies such as the US Dollar[3] or the Euro[4] are available from the DailyFX Trading Guides page[5]. If you’re looking to improve your trading approach, check out Traits of Successful Traders[6]. And if you’re looking for an introductory primer to the Forex market, check out our New to FX Guide[7].
Do you want to see how retail traders are currently trading the US Dollar? Check out our IG Client Sentiment Indicator[8].
US Dollar Pulls Back After Failed Attempt to Take-Out 11-Month Highs
The support zone that we looked at earlier in the week in the US Dollar[9]
