EUR/USD, USD/JPY and AUD/USD Forecast – US Dollar Drifts a Bit on Thursday

EUR/USD Technical Analysis

The euro has fallen a bit against the US dollar during trading on Thursday, but it’s worth noting that Thursday is also a National Day of Mourning in the United States, so it’s likely that liquidity will dry up as the Americans come on board. In other words, it’s very likely that the euro will sit somewhat still.

The 1.03 level, of course, has been important multiple times, and it is interesting that we are sitting there as we head towards the non-farm payroll number on Friday, which will, of course, have a major influence. All things being equal, the play in this market is still the same, it’s fading rallies that show signs of exhaustion.

USD/JPY Technical Analysis

The US dollar has pulled back pretty significantly against the Japanese yen during the trading session, but it is still very much a positive looking market. So, I don’t read too much into this other than the bond market in America was only open for a certain amount of time during the day. So, I think we are setting up a wait to see what happens with the non-farm payroll announcement. Ultimately, I do think that if it’s even remotely strong, this pair continues to go higher and if we do pull back, there should be plenty of support near the 156 yen level followed by the 155 yen level.

AUD/USD Technical Analysis

The Australian dollar has initially pulled back from its plunge earlier, but at this point in time, it still looks like it’s just dead in the water right around the 0.62 level. This is an area that has been crucial support for quite some time. But if we were to break down below here and have it stick, I think 0.60 is a very realistic possibility. Short-term bounces are possible, but I’m more than willing to short those, as we have seen over the last couple of weeks. That has been the play going forward.

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