The US$ had been tremendously overbought, both versus the Yen, but also against the Euro, as we had highlighted in our Q2 Global Strategy Outlook, and reiterated this fact “ad nauseum” since March 2013.
So, it is of no surprise to us that the US$ has entered the recent correction versus both the Yen, but as of later now the Euro too, on the contrary, we are expecting for the EUR/US$ to continue to its EUR/US$ 1,3650 resistance, and break above it, as the US$ has entered its weak seasonality period, between April and October.