After ending off July on a bearish note, Dollar pulls have answered with a pullback to 92.300. Meanwhile, traders have entered EURUSD shorts as we approach tomorrow’s NFP job report.
The US Dollar Index had a rough time last week of July as bears were able to momentarily take prices below 92.000. Since then, bulls have reentered the markets in the first week of August and were able to retest 92.300. Price action on the weekly and daily timeframe suggests further bullishness is to come.
In less than 24 hours, the Non-Farm Payroll report will be published. Forecasts have unemployment dropping from 5.9% to 5.7%. The number of jobs to be added is expected to be around 870,000. With bearish price action seen for EURUSD. traders have entered short with the possibility of a bullish job report.
For much of the year, the Dollar has had mixed reactions to news releases. Sometimes it did not react at all. Traders are encouraged to avoid holding any unnecessary trades during tomorrow’s release as the Dollar could act erratically.
For more Forex content like this:
- Sign up to become a Pro Trader
- Join our Discord server and chat with us
- Book a Demo with us to get a full tour
- See our Pro Trader Membership Pricing plans
- Read our previous blog article: Dollar Bulls Respond Despite Poor ADP, EURUSD and GBPUSD Shorts
