![](https://esterholdings.com/wp-content/uploads/display-stock-market-numbers-and-graph-517344206-599f5cd668e1a20013f8ff46-730x487.jpg)
State of the market
The dynamics of the main currency pairs remains low on trading on Wednesday. The reason for the uncertainty and restraint is the expectation of upcoming data for the Eurozone and the United States and technical factors. The technical picture of the market is more prone to correction after the growth of the US dollar at the start of the week. At the same time, the fundamental support to the American dollar was provided by fundamental factors, positive statistics last week and statements. General sentiment regarding the American dollar remains negative due to the expectation of rates cuts in the United States at the end of the month. Separately, it is worth to highlight the preservation of negative sentiment in the market in Europe, which are associated with the risks of Brexit and the possibility of easing monetary policy in the eurozone.
The US dollar index shows signs of slowing growth on overbought despite the continued upward trend, limited to significant resistance levels: 97.80 and 98.00. This may indicate the formation of a correction support levels: 97.50 and 97.30.
Fig. The US dollar index chart. The current price is 97.70 (10-year US government bonds yield is the blue line)
Read also: “Sanctions against Iran, their exacerbation
and impact on the global market”
Hanzenko Anton
Earn with the help of the trade service on the news Erste News!
Topical articles of the trader’s blog:
- Expectations from the July Fed meeting
- How real is the currency intervention in the US
- The trade war. Relations between Japan and South Korea
Current Investment ideas: