Fri, Jan 27, 2023 @ 11:18 GMT
HomeContributorsTechnical AnalysisUSD in the Corrective Phase

USD in the Corrective Phase

Markets are slow as we are waiting for important jobs data from the US. The expectations are fewer jobs than reported last month, so it should be interesting to see if jobs are coming down, which has been expected for a while now due to higher rates. Expectations are 200k, well below that number will likely suggest that there will be fewer rate hikes going forward due to recession risk, and this can bring the USD lower. An outcome above 200k, especially around 250k or 300k would likely suggest that rates will stay stable or that FED have some room for more hikes which can give some support to the buck. Technically speaking we see USD (equal w.) now finally breaking higher into wave C about what we talked for the last few weeks. However, this C wave is a final leg of a higher-degree rally, so the upside can be limited sometime this month. We see plenty of xxx/USD pairs in an Elliott Wave corrective set-back, so we think that majors will recover at some point, but lower supports can be retested first.

Elliott Wave Financial Service
Elliott Wave Financial Servicehttp://www.ew-forecast.com/
Trading forex, futures or futures options carries a high level of risk, and may not be suitable for all investors. The possibility exists that you could lose some or all of your initial investment; therefore you should not invest money that you cannot afford to lose. Our website and the information provided here should not be relied upon as a substitute for extensive independent research before making your investment decisions.

Featured Analysis

Learn Forex Trading