Analysis of the American Trading Session
The US Monday session closed with a drop in the US dollar against a basket of competitors. The main decline of the American dollar fell against the British pound, which received support while awaiting the Brexit deal. The weakening of the US dollar was also traced against commodity currencies on the growth of optimism and the cost of raw materials.
As a result, at the trading on Tuesday, the US dollar is trading near the level of 97.00, actually breaking the March uptrend, remaining under pressure from the slowdown of the US economy. With the consolidation of the US dollar index below 97.00, we can expect the test of support 96.80-70. The strengthening of the British pound and commodity currencies remains the main driver of reducing the American dollar.
Fig. The US dollar index chart. The current price is 97.00 (10-year government bonds yield is the blue line)
Read also: “New Zealand Dollar (NZD) – features of trading on cross-rates”
Andre Green
Earn with the help of the trade service on the news Erste News!
Topical articles of the trader’s blog:
- Emerging markets and their prospects
- The US Dollar Index (DXY) as an auxiliary indicator for trading in commodity currencies
- To increase or not to increase, the difficult choice of the US Federal Reserve
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