The Dollar up-trend continues in the wake of better than expected US payrolls and softer than expected Chinese import data. With the PBOC and ECB thought to be poised to ease further and the US macroeconomic edge firmly entrenched with the monthly payroll results. Tempering the run up in the Dollar this morning is a slight upturn in Euro zone sentiment and a minimal rise in German Industrial production figures. US scheduled data today is thin with a lower tier employment trends reading and therefore fresh concerns of slowing from ECB officials would seem to leave the Dollar in an upward track on its charts ahead. The Commitments of Traders Futures and Options report as of December 2nd for US Dollar showed Non-Commercial traders were net long 35,616 contracts, a decrease of 2,403 contracts. The Commercial traders were net short 48,537 contracts, a decrease of 1,555 contracts. The Non-reportable traders were net long 12,921 contracts, an increase of 848 contracts. Non-Commercial and Non-reportable combined traders held a net long position of 48,537 contracts.
This represents a decrease of 1,555 contracts in the net long position held by these traders.
Technical Outlook: Studies are showing positive momentum but are now in overbought territory, so some caution is warranted. The close above the 9-day moving average is a positive short-term indicator for trend. With the close over the 1st swing resistance number, the market is in a moderately positive position. The next upside target is 90.27. The next area of resistance is around 90.01 and 90.27, while 1st support hits today at 89.18 and below there at 88.60.