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Will USD sustain?



Yen has crossed above 120, which was our agressive stop-loss. USD has not been able to hold above the levels convincingly yet, I mean, there are not impulse waves yet. Possibly this is a just a test of supports and it is likely to move up.

But the most bearish case for USD seems to be fashioning in EURUSD charts, inspite of possiblity of some correction. The channeled uptrend of EUR is still unbroken. USD on the whole seems to be weakening, with it having surprisingly weakening against AUD.

For the next few days, I would be looking at this retest of supports by USD and also for a likely false breakout by USD. In other words, I would not be taking a positive position in USD unless I have a strong evidence of strength. Will be looking out for Yen to lead the way, any sign of positiveness would have greater impact on EUR.

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