Analysis of the past week

As a result of the previous week, the US dollar continued to decline against its main competitors, thus keeping the downward trend, which was aggravated by the aggravation of political risks in the US, Trump’s criticism of the strong dollar and the restrained rhetoric of the US Federal Reserve Chairman. As a result, the US dollar index has updated the minimum of the last two weeks at the level of 94.90. The week itself buries a bit above psychology 95.00.

Technically, this indicates the preservation of the downward dynamics of the US dollar, with the prospect of testing support levels: 94.80 and 94.60. Also worth noting the expectation of a September rate hike in the Fed, which in the end could slow the decline in the US dollar. As a result, the general upward channel on the US dollar index may remain, but it will also be limited by resistance levels: 95.50 and 96.00.

The US dollar index chart H4. The current price is 95.20 ( 10-year government bonds yield is a blue line)

Hanzenko Anton