Analysis of the American Trading Session
Trades at the American session on Wednesday closed with the collapse of the US dollar across the market on the results of the US Federal Reserve meeting. The main negative fact that put pressure on the American dollar was the Fed’s decision not to raise rates this year, relying on the risks of a slowdown in the economy and inflation in the United States. As a result, on these statements, the dollar index fell sharply.
The US dollar index at the end of trading on Wednesday updated a low at the level of 95.80, breaking through significant support and accelerating the downward trend. Thus, it was in significant oversold, which may cause a correction to resistance levels of 96.10-20. Support is located at levels: 95.80-70.
The US dollar index chart. The current price is 96.40 (10-year government bonds yield is the blue line)
Read also: “Market makers – who they are and whether they are a threat to the trader?”
Andre Green
Earn with the help of the trade service on the news Erste News!
Topical articles of the trader’s blog:
- Prospects for Boeing shares after the planes crash
- The US Dollar Index (DXY) as an auxiliary indicator for trading in safe haven currencies
- 3 major mistakes of traders-beginners
Current Investment ideas: