Analysis of the past day

On Friday, trading on the market is closed by a noticeable increase for the US dollar on correction after yesterday’s decline. The reason for this was the reduction of short positions on the American dollar before the weekend and the preservation of high profitability of the US state bonds. As a result, the US dollar index closes the day by an increase of the order of + 0.30%.

Stock exchanges throughout the day are trading in positive territory, keeping optimism from the start of the day on positive data on China (Nikkei 225 +1.19, DAX +0.55 FTSE 100 +0.25, Dow 30 +0.10). Risks around the US trade confrontation fell slightly after information on the new the US and China negotiations.

The US dollar index closes the week with a significant correction with the resistance test 94.80. But below psychology 95.00, that indicates the preservation of the downward trend and the unloading oversold US dollar. Thus opening the way to decline.

The US dollar index chart. The current price is 94.70 (10-year government bonds yield is a blue line)

Hanzenko Anton