Analysis of past week

The past week was very negative for the US currency, that decreased by 0.30%. Thereby breaking the February uptrend and moving on to the correction. At the end of the week, the US dollar index updated a low at the level of 96.30 indicating that the downward dynamics is maintained. The reason for the sale of the US dollar were very optimistic expectations about the US – China trade talks. Despite the fact that the foreign exchange market spent the second half of the trading week in a flat, traiding in a narrow channe, the optimism regarding trade negotiations remains very significant.

At the end of the week, the US dollar index continues to trade in a downward channel, maintaining a sideways trend. That in case of breaking through support 96.40 it will open the way to the marks: 96.20 and 96.00. Significant resistance for the US dollar index is located at levels: 96.70 and 96.90.

The US dollar index H4 chart. The current price is 96.40 (10-year government bonds yield is the blue line)

Hanzenko Anton