We are expecting a downtrend to develop. Positive macroeconomic statistics from the United States will have a positive impact on the value of the dollar. Initial claims for state unemployment benefits dropped 10,000 to a seasonally adjusted 204,000 for the week ended Jan. 11, said Labor Department. The four-week moving average of initial claims, considered a better measure of labor market trends as it irons out week-to-week volatility, fell 7,750 to 216,250 last week. The economy created 145,000 jobs last month after adding a hefty 256,000 positions in November. Still, the labor market remains on solid footing, with the unemployment rate holding near a 50-year low of 3.5% in December.
Trading recommendation: Sell 1.3080 and take profit 1.3040.