It seems FED has not yet decided interest rates cut and data still shows good. Markets will be moved tuesday with Jerome Powell speaks previous to his meeting with Congress when testifies in the Semiannual Monetary Policy Report. Markets will pay attention to his words trying to find direction. Trading wars are still yet not decided, so depending on his words for me is very probable a bullish trend but still not enough for breaking resistance. Arriving the DXY 98.98 level will take to a major resistance level. If bear back to 96.5 and maybe 96.1 but no more than that because the green is back.
In the technical point of view we are trading the pink channel inside the band channel. The first thing I can see in my drawings is a Cypher formation by Tuesday. Depending on Jerome Powell speaks and testifies will determine market direction for the first half of July. In the daily time frame my forecast is still a bullish trend considering my recently broken RSI over 55 and my Stoch RSI showing there is still room to continue the bullish trend.
The star of the week will be the CAD (even considering Fridays employment) with BOC monetary policy statement if still only neutral and if Oil prices continue its pullback trend and US economy shows sustainable data including Powell. Will be inevitable for CAD not to speed up like a rocket. AUD and my favorite and more volatile NZD are ready to bear. EUR will definitely struggle depending on data. JPY and CHF will make a small pullback.
In the technical point of view we are trading the pink channel inside the band channel. The first thing I can see in my drawings is a Cypher formation by Tuesday. Depending on Jerome Powell speaks and testifies will determine market direction for the first half of July. In the daily time frame my forecast is still a bullish trend considering my recently broken RSI over 55 and my Stoch RSI showing there is still room to continue the bullish trend.
The star of the week will be the CAD (even considering Fridays employment) with BOC monetary policy statement if still only neutral and if Oil prices continue its pullback trend and US economy shows sustainable data including Powell. Will be inevitable for CAD not to speed up like a rocket. AUD and my favorite and more volatile NZD are ready to bear. EUR will definitely struggle depending on data. JPY and CHF will make a small pullback.