The main market drivers
By the end of the day, the US dollar accelerated the growth against major competitors. The reason for the growth of the American dollar was the general optimism and risks of the general parliamentary elections in Great Britain. This increased political risks in Europe and put a significant pressure on the British pound. It is also worth noting data on business activity in Europe.
As a result, the US dollar index updated the August high at 99.10, actually limiting itself to the overall overbought, which was intensified by reduced activity by the end of the day. Significant resistance for the American dollar continues to be levels 99.20-30. Support is located at 98.90 and 98.70, the test of which is possible on the correction and resumption of activity in the market.
Fig. The US dollar index chart. Current price – 99.10 (10-year US government bonds yield – blue line)
Read also: “A new front opens in the trade war”
Earn with the help of the trade service on the news Erste News!
Topical articles of the trader’s blog:
- How far the prospects for USD/JPY may be downward
- What does the US Fed Chairman Powell statement mean for the US dollar
- ECB is preparing a stimulus package
Current Investment ideas: