After the strong gains in the past few sessions, the dollar is pulling back slightly as traders brace for Fed chair Powell's remarks later today. He will be speaking in an interview event at the Economic Club of Washington and you can check out the agenda here.
The question for markets is will he build a case on the stronger labour market report from Friday or will he stick to the same narrative as we saw last week? Only time will tell now.
I already outlined in yesterday's post here how the dollar is holding at key levels and they are still very much in play at the moment. If the dollar is to gain further, there is scope for the gains to extend after having seen a notable drop since the turn of the year.
But as we await Powell, there won't be much else for markets to work with in the meantime so there isn't much in terms of fresh opportunities today besides some scalping trades I would say.
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