Analysis of the American Trading Session
Trading in the US session on Friday closed with a general increase in the US dollar against a basket of competitors and the American dollar against certain currencies: the euro, commodity currencies and gold. The reason for this movement was the technical correction of positions before the weekend, published statistics on the American session, which collapsed the Canadian dollar. And it is also worth noting some uncertainty in the US – China trade negotiations talks, which stopped to show progress. As a result, investors have become more cautious in optimistic expectations.
Friday trades for the US dollar index closed near the weekly highs with the update of resistance 96.50-55. As a result, there was a refraction of a two-week downward trend. Further strengthening of the American dollar is limited by its overbought and restrained trading at the start of the week. Significant support is located at the levels: 96.30 and 96.00, resistance: 96.50 and 96.70.
The US dollar index chart. The current price is 96.40 (10-year government bonds yield is the blue line)
Read also: “An engulfing strategy. A trend reversal”
Andre Green
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