For the past few days I have been keying off the post-payrolls price action with an eye toward the dollar not being able to sustain its downward momentum on bad news. That fear has been born out as we rallied in EUR/USD on the weak employment report but could not maintain those gains.
Sure we got some jawboning from European officials but they are as powerless as Japan to influence exchange rates at the moment.The ECB is desperate to withdraw liquidity ASAP, not add to it to keep the euro weak.
Keep an eye on uptrend support. I suspect we will see serious profit-taking if it breaks.