Analysis of the American session
Wednesday’s trading closed with a continued decline in the US dollar against a basket of competitors. The driver of the decline of the American dollar remains the risks of a recession in the US economy and the preservation of trade tension. As a result, the dollar index closed with a decline for the second consecutive day, returning to the September opening level.
Achieving the dollar index level of 98.50 indicates a significant oversold of the American dollar in recent days and a correction after the growth from August 26. This will actually limit the further weakening of the US dollar index against a basket of competitors.
Fig. 1. The US dollar index chart. Current price – 98.50 (10-year US government bonds yield – blue line)
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Andre Green
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