The Wild Card USD/MXN 1 Oct 2009
Thursday, 1 Oct 2009
USD Falls Slightly then Rebounds Ahead of Tomorrow's NFP Report
This week has been a bumpy ride for the US Dollar. After entering a bullish trend against a number of its currency rivals, the USD appeared set to step onto the world stage and announce the return of the safe-haven. However, a few positive reports in Europe and a level of optimism before the US Non-Farm Payrolls data tomorrow have helped many currencies pare some of the losses against the USD going into this morning's early trading hours. The USD, now appears, however, to be retaking the lead, as if optimism has taken a hit. Today's heavy news cycle and tomorrow's NFP report may be more important than many traders assume. If you're not in the market today and tomorrow, you should be.
The Wild Card
The price of this pair appears to be floating in the over-bought territory on the hourly and daily RSI, suggesting strong downward pressure. With fresh bearish crosses in the hourly and daily Slow Stochastic, this notion only gains more strength. Going short on this pair may offer forex traders a great opportunity to capture an impending downward wave and ride it out for hefty profits...read more