A wave of dollar short-covering has come into the market driving EUR/USD below 1.4850 and AUD below 1.0775.
As we have seen in the past, US economic weakness and weak dollar do not necessarily move hand-in-hand. The 2008 financial crisis was the best example as the dollar soared to 1.24 from 1.60 EUR/USD….
*A rally cap is a baseball cap worn while inside-out and backwards or in another unconventional manner by players or fans, in order to will a team into a come-from-behind rally late in the game. The rally cap is primarily a baseball superstition.–wikipedia
