Analysis of the past day

On Wednesday, commodity currencies of the Pacific region were under the pressure against the US dollar, which was associated with an exacerbation of negative sentiment regarding the global economy and a general decline in the cost of raw materials. As a result, Canadian (CAD), Australian (AUD) and New Zealand (NZD) dollars were under considerable pressure.

Stock indices traded down mostly during the day (Nikkei 225 +0.14; DAX -0.40; FTSE 100 +0.00; Dow 30 -0.10).

For the third consecutive day the US dollar index closes with growth on the growth in demand for the American currency, eventually breaking through the resistance of 96.20, but maintaining a significant overbought. In the conditions of preservation of negative sentiment in the market, the upward trend of the American dollar will be maintained, but limited to the level of 96.40-50 (the upper limit of the two-month downward channel).

The US dollar index chart. The current price is 96.20 (10-year government bonds yield is the blue line)

Hanzenko Anton