What this move also did was bring prices down to a H4 demand seen on the US dollar index at 95.52-95.61, and also force sterling back up to the underside of a daily coming in at 1.3371-1.3279. This – coupled with the above H4 structures and the fact that weekly price is touching gloves with the top edge of a minor range seen at 1.3241, we feel a downside move is likely on the cards today. Nevertheless, traders will want to exercise caution due to today being the first Friday of a new month: NFP day!
Our suggestions: From a technical standpoint, this pair is overbought and potentially ready for a sell off. With that in mind, should one manage to pin down a lower timeframe setup to sell within the current H4 , the unit will likely reach at least the 1.32 base.