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The major pairs have hit a swing point against the dollar and may now consolidate for a while, and at worst will now look to pull back to test support. Not only are there major price action points to get over in the near term on all of the pairs, but the moves they made against the Usd on Thursday were on the back of what looked to be a positive equity market close from Wall Street. That was something that was impeded by the last 60 minutes of S&P trade that dropped all of the days gains and had the equity market close in the red.

After a move higher by the majors that has nothing to back it moving into overbought territory the challenge will be to hold ground ahead of the Asian market trade that now has negative futures market momentum; negative futures tend to equate to negative major currency trade against the dollar. Add in a G20 meeting, and the uncertainty that they produce on the Friday that they are hosted, and we have every reason to expect some steam to be taken out of these markets in the form of a major pair reversal to support. The only savior may be a robust period of equity trade from Japan and Hong Kong, but that does not look likely at this stage.