With that being said, you do have to be cautious, and you do have to realize that this pair is highly sensitive to risk appetite. So therefore, you can’t get too aggressive in any one particular trade. The market is going to continue to be noisy, but at this point, I think it’s got a lot of work to do to continue the upward trajectory.
If we could rally rather significantly from here, the final target is probably 0.6650. Anything above there would almost certainly demand a complete change in the overall attitude of the Federal Reserve and its policy. At that point, you would have to be talking about Jerome Powell coming out and talking about cutting rates again. Ultimately, this is a market that I think is reflecting geopolitical concerns. And of course, the fact that the global economy seems to be stuck.
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