Analysts at Goldman Sachs recommend dollar longs on NFP.
Goldman analyst say the best spots to buy the US dollar are against the euro, yen and Canadian dollar on expectations of an upward surprise. They note that the average two-month revision to April non-farm payrolls is +74K and they also expect a strong reading near +230K (consensus also +230K))
They reiterated their forecast for EUR/USD falling to 0.95 within 12 months as the ECB continues to print.
On USD/JPY, they say it has shown the biggest response to upside surprises in non-farm payrolls and revisions since 2014. They warn that USD/CAD could be a bumpy trade because Canadian employment data will be released at the same time.
Overall non-farm payrolls estimates range from 175K to 315K.
Non-farm payrolls
