Today the Senate is expected to vote on the adoption of Trump's tax reform. Against this background, the US dollar since the beginning of the trading day has regained some of its positions relative to other pairs.
In addition, today in the US there will be a series of speeches by members of the FOMC, as well as Secretary of the Treasury Steven Mnuchin.
In the case of positive data, we can well expect that our chart will continue to draw the head and shoulders pattern. However, if there is a lot of negative data, we expect that the current rebound will be only a short-term correction of the price and it will continue to try to overcome the mark of 1.20.
Considering our chart, we also see that the local fifth wave was completed and it is probable that the price will return to the levels of 1.1845 and 1.1770. The Stochastic indicator is in the oversold zone, and the RSI just went below the level of 70%.
So, before the news we still expect the formation of a downward movement. As the announcements start coming in higher volatility is expected and it is recommended to enter the market only after the formation of a certain trend.
