State of the market : the dollar has moved to correction

Monday trades opened with a decline in the US currency at the Asian session across the market. The reason for the decline in the value of the American currency was the technical correction against the Friday growth of the American dollar and the growth of optimism in the stock markets. Optimism also caused the strengthening of risky commodity currencies and put significant pressure on the Japanese yen.

The US dollar index is trading down at 97.00 at the start of the day, while remaining in the correction phase, indicating a decline, which will be limited to the support of 96.80 and 96.60-50.  From these  support levels of the upward channe it is worth considering purchase transactions. In the case of a more significant decline in the US dollar index with a consolidation below 96.50 it is possible a resumption of general downtrend in the dollar.

Read also: “Myths about the FOREX market, fact or fiction.”

Hanzenko Anton

Earn with the help of the trade service on the news Erste News!

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