The Dollar ends the week off in indecision as price prints a doji candle. It seems to be a real possibility for traders to long both Gold and Crude (Oil) next week as both commodities approach this year’s high.
For the past four weeks, the Us Dollar Index (DXY) has been moving in a choppy fashion. Although price is making new lows, these lows are almost always accompanied by deep retracements to the upside. The Dollar has spent much of the week at or near 90.00 and will end the week at this level too.
Gold has continued its strong uptrend as price closes bullish above 1900 for only the second time this year. We can expect further gains for the precious metal as the Dollar ultimately moves lower. Oil has been stuck in a sideways uptrend is starting to find some momentum as it looks to clear this year’s high.
Next week is June and we will have another Non-Farm Payroll release to watch out for. Current forecasts are bullish as unemployment is expected to drop to 5.9%. Anything worse than this result could send the Dollar lower as it was intended to.