Price is currently in a downtrend and has conducted a pullback to supply level and when applying Fibonacci Extension it hits the next level of demand. This is quite interesting considering NFP has just been released which was less than expected which should have made the DXY weaker and equity indexes rise. But the market has not move in this direction, highly likely due to Covid uncertainty and labor force unable to return to work to re commence productivity based activities.
The other issue could be the rising bond yields (US02y & US10Y) increasing cost of borrowing money, which in turn will reduce profits and investors withdrawing capital to invest in more safe haven type of instruments.
Trade what we see
The other issue could be the rising bond yields (US02y & US10Y) increasing cost of borrowing money, which in turn will reduce profits and investors withdrawing capital to invest in more safe haven type of instruments.
Trade what we see