Euro Dollar Daily Candle Chart - 6th February 2009

Euro Dollar Daily Candle Chart - 6th February 2009

Today is all about the Non Farm Payroll data, due for release later today in the US, and for the euro dollar pair, this means only one thing – no movement this morning followed by extreme volatility this afternoon as the numbers are released. Yesterday we saw a small down bar on the daily candle chart, which has done little to confirm the bearish move, and in some ways the pair seem to be re-basing around the 1.2750 region. Whilst the trend lines of the last few weeks have remained intact, the failure to penetrate this level may be an indication of things to come, and until this region is penetrated, then it is difficult to trade a short position with any confidence. My suggestion today would therefore be to stay out of the market for today, unless ofcourse you are proposing to trade the news – I have provided a suggestion for you on the euro to dollar site ( only the way I do it, so don’t take it as a rule – sometimes it works well and sometimes it fails, but if you treat it as a fun trade, then this is fine ). Following the news later we may get some idea of the direction for next week. Have a great weekend and good luck today with your currency trading.