The moves against the trend are deepening for quite a few pairs today. Since the US Department of Labor is releasing the Nonfarm Payrolls this Friday at 8:30 AM EST.
The moves against the trend are deepening for quite a few pairs today. Since the US Department of Labor is releasing the Nonfarm Payrolls this Friday at 8:30 AM EST, this is really not surprising. It's not unusual to see profit-taking before a major news release. But unless the release is enough to change the trend of the USD, we should be looking for a continuation of the current trends once that number is out of the way. That means looking for a buy signal in the GBP/USD. I have plotted an MACD on this 4-hour chart as one way to see the reversal back into the direction of the trend. We would need to see the MACD line (green line) cross back above the Signal line (black line) for a possible signal to buy. Many of the USD pairs are in the same position with the USD/CHF, USD/JPY and USD/CAD being opposite as the USD is the base currency (first currency listed) instead of the counter currency (second currency listed) in these pairs.
