Analysis of the past day

On Thursday, generall market dynamics was aimed at strengthening the US dollar across the market. The driver of the American dollar growth since the middle of the day was the growth of the US government bonds yield, which provoked the strengthening of the dollar against the safe haven assets. On the publication of positive data on the United States, the American dollar has accelerated growth across the market.

The main decline in trading on Thursday continued to show the British pound, the pressure on which continued to come from political risks in the UK. The euro turned under the pressure of the dollar  following the British pound.

Stock indices were traded very positively throughout the day, receiving support from the correction and the lack of increased risk in a trade war (Nikkei 225-0.63; DAX +1,50; FTSE 100 +0.50; Dow 30 +1.00).

The US dollar index on positive data and support from government bonds returned to an upward trend, having rebounded from the level of 97.40-50, updating the last weeks’ high  to significant resistance 97.80 and thus being significantly overbought, limited to resistance 97.80-90. Support settled at levels: 97.60-50.

Fig. The US dollar index chart. The current price is 97.80 (10-year government bonds yield is the blue line)

Hanzenko Anton