Recap: We took yesterday's trade on the chin for a 50 pip loss as the weight of the Aussie interest rate downgrade ultimately caused traders to fatten their USD positions across the board.

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Today's Important News Events:

DateTime (UTC)EventForecastPrevious
Wed
May 2
07:55EUR German Unemployment Change (APR)-10K-13K



*To see a more extensive list of news events (not just those we consider important), visit our Forex Calendar.

With medium-term support broken - support that has lasted the better part of a month - we are short term bearish now as we are looking for the dollar strength to continue on poor global economic news. We will look for technical entries (support breaks, bearish candlestick signals, etc) to re-establish our shorts.

Trading Idea: Our primary trade today is to wait for a solid rising trend support to form and break for a short entry, with targets at 20/20/25/25 for 90 pips profit.

We will establish an aggressive short on a proximity alert to our falling resistance with targets at 20/20/20 for 60 pips.