Steady as she blows… We’re making steady gains in the dollar but there’s more to come. The North American session ended and for the most part, we should see a pullback but that doesn’t appear to be consistent. Some pairs need a minor follow-through and others just a pullback. That should see the “follow-through” pairs make a new dollar high and from there we should see all of the pairs seeing corrective dollar losses. The pullbacks don’t appear to be massively deep so watch across the range of currency pairs and hopefully we’ll manage to see the dollar arise once more.
Therefore, by the European session, we should begin to see the dollar rise once more but there could be some tricky little bits that could provide some frustrations. However, I’ve noted that the main dollar/currency pairs are now all above the (dollar bullish) side of the Price Equilibrium Clouds. That is an encouraging indication in itself.
The only pig in the poke is EUR/JPY. I had thought we had found the high but yesterday saw yet another new high and I tend to feel that it may well need a minor new high. However, the signs from the hourly and 4-hour momentum indications suggest a reversal to the downside…