Taking top-down analysis into consideration it can be concluded that the bulls have been in control for the past two weeks. The weekly candlestick close indicates that this bullish momentum is likely to continue. The daily candlestick close on Friday was a bearish engulfing candle which indicates a rejection of the 1.29000 level. This could be a potential setup for a retracement at one of the established Fibonacci retracement levels before the bullish momentum resumes. Heading into this week we have a heavy economic calendar that could cause some volatility around the dollar. Consequently, it would be wise to stick to the higher timeframes for direction and allow the market to show us where it is headed before taking a position on this pair. On the technical analysis side of things if we do see a retracement at one of the fib levels then we can initiate a long position if we have a clear bullish signal to enter the market.