With a lack of important announcements out of the EuroZone and the U.K., we'll be looking at US economic data releases for further clues into current market sentiment. We've mostly been consolidating within a large range and a breakout may be imminent. If that occurs, we are going to look for failure and as we mentioned last week, risk aversion to lead the way for a stronger dollar.
The EU Bank Stress test didn't have much of an impact as the banks in the spotlight passed and the general outlook remained neutral. We still think that risk aversion will return, it's just a matter of time. N. Korea's reaction to military exercises near the border will also be important. Any acts of war should help the dollar gain ground.