After the long weekend, the Dollar has come out with a punch of its own as price attempts to clear last week’s high. It’s too early to decide if bullishness is here to stay for the Dollar, so traders are shifting their focus to AUDJPY and US Oil.
After closing bullish for the week last week, AUDJPY is set to push higher. There was a potential to long GBPJPY this week, but this move has already played out during the long weekend. Price action traders are waiting for the price to clear this week’s high before entering long.
Crude oil continued its gains over the weekend with price almost reaching $61 per barrel. Price is naturally going to pullback before the next leg up. Price action traders are currently up +500 pips and are possibly looking to enter another position long.
Tomorrow we have core retail sales data for the US economy. The current forecasts are bullish as lockdown protocols lighten across the country. If the result holds, it may push the Dollar higher or the Dollar may not react to it has for much of the year.