An analysis of the previous day

On Wednesday, October 18, the US dollar index showed a multidirectional dynamics. The first half of the day was marked by the steady growth of the American in the whole spectrum of the market, which was caused by the continued positive dynamics of stock indexes and the investors’ attraction to risks. In the second half of the day, the market saw a change in sentiment about the American and correction of positions, which was strengthened by relatively weak statistics on construction in the US.

During the day euro was weakening against the American, having updated yesterday’s minimum. The pair failed to overcome this support level. The pressure on the euro was mainly caused by the absence of significant statements from the head of ECB M. Draghi. The low of the day is 1.1730, the high is 1.1780.

The British pound continued to weaken across the entire spectrum of the market based on the mixed data on employment in the UK. Despite the increase in wages in the UK, it still lags behind the rate of inflation and together with the growth in jobless claims increased pressure on the pound. The low of the day is 1.3140, the high is 1.3210.

Anton Hanzenko