The medium- to long-term trend for the Dollar continues to be bearish but there has been a pullback from the two years lows reached earlier in the week. This short-term correction is probably no more than just that, short-term, as the Fed’s willingness to maintain very low interest rates for the foreseeable future and political stalemate in Washington, regarding a fiscal aid package, are likely to continue weighing down on the Dollar. US employment figures, to be published later today, will provide more near-term direction.
