With a full schedule of economic data to be released this week, everyone's focus will be on fundamental data supporting the recent market price action. Further positive economic data should reinforce the current trend correction against the dollar but worse than expected data will most likely set a panic tone and lead to a sell-off in equities, leading to a dollar rally.

We'll end the week with the very important NFP session and we'll see how the market reaction sets the action for the rest of the summer. If the buck strengthens on the back of worse than expected NFP figures, risk aversion sets in, and the dollar is able to close stronger during the month of August, we'll look for continuation during the 4th quarter.