The main market’s drivers

The US currency accelerated decline on the growth of optimism in the market, which was caused by the strengthening of European stock indices. The aggravation of the US and China trade relations with the possibility of further heating relations do not worry the market. Investors switched to the growth of commodity currencies and the sale of safe harbor assets. The British pound also supported by the resumption of optimism on Brexit negotiations .

The US dollar index against the background of a new wave of optimism overcame the support of 94.30 and aimed at psychology at 94.00. At the same time, US bonds remain above 3%, and the dollar is oversold. As a result, it is possible to slow down the decline. Technically, the dollar index against the basket of competitors remains in a downward trend, the resistance is located at the levels: 94.50-60 and 94.30.

The US dollar index chart. The current price is 94.20 (10-year government bonds yield is a blue line)

Read also: “Safe Harbor – Security Tools in Financial Markets”

Andre Green

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

Topical articles of the trader’s blog:

1. Prospects for the dollar by the end of September beginning of October 2018
2. The EU and the UK are making compromises on Brexit
3. Singapore dollar. Features of trade.

Current Investment ideas:

1. Preparing to have profits on an optimistic report of Alcoa Inc.!
2. On weak reporting of Boeing shares we can get a strong income!