Last week's NFP drop turned out to be pretty disappointing for the dollar. The data was not as expected which caused DXY to slump. At its short term state, the dollar is expected to be quite weakened. With so, we may be seeing the possibility of EURUSD printing a new swing high.
For that to happen, we are looking at EURUSD to tap the supply area at the 1.13700 level which would cause a pullback to the demand area. Adding confidence to this set up is a 50 MA that is protecting the bullish point of interest from being engulfed which increases the likelihood of price respecting the 1.13200 level.
It is important to take note that EURUSD is fundamentally bearish overall taking into consideration the possible rate-hike this March and Fed's seizure in printing money to start curbing high inflation rates in the US. Take a long at your own risk.
For that to happen, we are looking at EURUSD to tap the supply area at the 1.13700 level which would cause a pullback to the demand area. Adding confidence to this set up is a 50 MA that is protecting the bullish point of interest from being engulfed which increases the likelihood of price respecting the 1.13200 level.
It is important to take note that EURUSD is fundamentally bearish overall taking into consideration the possible rate-hike this March and Fed's seizure in printing money to start curbing high inflation rates in the US. Take a long at your own risk.