Analysis of the past day

As a result of Monday’s trading, most major currency pairs traded in different directions. The only exception remained safe haven assets, which continued to weaken against the background of a company of optimism and the strengthening of stock indices. First of all, classical currencies of a safe haven were under the pressure: the Japanese yen, the Swiss franc and gold. On the growth  of optimism, the US dollar also weakened, after Trump’s statement about the US Federal Reserve policy.

Stock indices throughout the day were trading with a noticeable strengthening against the background of new positive data on the progress in the US-China trade talks and the launch of corporate reporting (Nikkei 225 +1.37; DAX +0.10; FTSE 100 -0.10; Dow 30 – 0.20).

At the end of the day, the US dollar index was moderately constrained, limited to Friday’s minimum of 96.80 and resistance level of 97.00-96.90, indicating a moderate correction near strong support and maintaining a potential for decline.

Fig. The US dollar index chart. The current price is 96.90 (10-year government bonds yield is the blue line)

Hanzenko Anton