Analysis of the past day

On Wednesday, the market dynamics was fully depended on the statements of the Central Banks representatives. So, the main driver of the market was the comments of the US Federal Reserve Chairman Powell, whose tone turned out to be very mild and provoked the sale of the American dollar across the market. Similar pressure from the Bank of Canada was put on the Canadian dollar. At the end of the day, the USD/CAD pair showed a significant and multidirectional volatility, which was caused by the publication of data.

Stock indices throughout the day were traded in different directions with a predominant growth, retaining a positive attitude on stock exchanges and increasing pressure on the American. (Nikkei 225-0.15; DAX -0.40; FTSE 100 +0.00; Dow 30 +0.30)

The US dollar index closes the day with a decline to the lows of the current week at 97.10. This slowed significantly the uptrend on the American dollarand partially overloaded its overbought. Resistance levels: 97.30 and 97.50, support: 97.00 and 96.80.

Fig. The US dollar index chart. The current price is 97.10 (10-year US government bonds yield is the blue line)

Hanzenko Anton