The forex market is currently driven by a risk-on sentiment, fueled by expectations of aggressive Fed rate cuts following weak U.S. jobs data. This environment supports a bullish stance on AUD/USD, backed by strong Australian data and global appetite for risk. Meanwhile, USD/JPY faces selling pressure due to rising U.S. unemployment and safe-haven flows into the yen. The ECB’s slightly hawkish tone lends moderate support to the euro, making EUR/JPY a cautious hold. Other pairs like EUR/NZD and EUR/CHF remain neutral, reflecting mixed signals and lower conviction. Traders should stay alert to geopolitical risks, central bank decisions, and key upcoming data such as U.S. CPI and Australian GDP, which could trigger volatility. Effective risk management—through timely news tracking, adjusting positions, and setting stop-losses—is essential in navigating the current forex landscape.