We’re beginning to see some decent development but pretty slowly. At the start of the day in Asia, the predominant outlook is for a bearish pullback lower in the dollar. Whether that still allows a final zigzag is under scrutiny. It may just see a correction higher. That is the main theme across most of the pairs – USD/CHF should see a correction lower and GBP/USD should see a correction higher. Once those corrections have been completed we should move back to the dollar upside.
USD/JPY is just one point below the current high. Take your pick. Either it breaks higher – or sees a new low. I feel that we could just see one more drop before the dollar rally resumes. Bringing in EUR/JPY, the balance between the potential rally in EUR/USD and a bearish USD/JPY, we should see some sort of consolidation.
AUD/USD doesn't have much upside, therefore expect losses again today.