State of the market: the US dollar maintains a positive attitude

The new working week was opened with the optimistic sentiments about the US currency, which were traced on Friday. The reason for the restrained recovery of the American is its significant oversold and Trump’s comments on the misunderstood words of the US Treasury Secretary Mnuchin, followed by the sale of the American.

In the market there is a restrained positive dynamics, which is limited by the multidirectional trade in the stock indices of the Asia-Pacific region. In addition to optimism about the US currency, the market remains concerned about the NAFTA free trade agreement. Revision of the agreement on the initiative of the US President D. Trump raises fears and may cause another risks regarding the American.

At the same time, the US dollar index is traded in a sideways trend, limited to the trading range of the last Thursday. At the same time, the overall downtrend in the US currency is maintained, which in the future may indicate a resumption of downward dynamics. Support levels: 88.50 and 88.20, resistance: 89.20 and 89.40.

Graph of the US dollar index. The current price is 88.90.

Hanzenko Anton