Profit: $3.29 Total: $1,119.73
It wasn’t the best day for the dollar and it all started with the short ISM manufacturing PMI data. The actual number was 49.4 vs 52.0 and it was enough to spark the dollar sell off. The other major reason why there was a sell off in the dollar was probably profit taking. Since tomorrow’s NFP, investors are probably not going to risk their long dollar positions and took their positions off. Tomorrow’s data is going to be huge since the Fed’s action will be heavily dependent the number. It can be a make or break situation for this year’s rate hike if the data comes out extreme.
Right when there was a dollar sell off, I scalped USD/JPY shorts and some of long EUR/USD. All the movements happened so fast and eventually died down then plateaued by afternoon. Since most of the investors took off their positions, I don’t think we’ll see a lot of movement for London until 8:30, which is when payroll data releases.