Forex Videos

Friday’s non-farm payrolls came in below expectations and this
eventually led to a dollar sell-off.Thomas Light from Faraday Research has been looking at the daily price chart of the dollar index, spotting a brief spike higher after which the dollar reversed to close on its lows.
Thomas Light: Friday's Non Farm Payroll came in below expectations and this eventually led to a dollar sell-off. We take a look at the daily price chart for US Dollar Index. You can see that, after a brief spike higher, prices actually closed on their lows. This formed a bearish engulfing pattern and it indicates that the market will remain range bound in short term and we expect prices to retest the bottom of the range this week. The best way to play the short term dollar weakness is through the EUR/USD. Looking at the daily chart, Euro is showing signs of strengthening even before Friday's Non Farms forming several bullish candles. So our strategy for this week is to trade the move back up into 1.10 and stops should be below today's low at 1.0930