State of the market: the dollar is restrainedly recovering

On Tuesday, the US dollar is trading with moderate growth after the upward movement on Friday and Monday. The strengthening of the American was caused by the repudiation of the significant support of 88.20 for oversold and the reduction of meek positions before the day off in the US.

Also, additional support for trading on Monday to the American was provided by a resumption of negative sentiment on the stock indices of Europe, which was caused by a decrease in liquidity due to a weekend in the US and technical correction. As a result, some uncertainty associated with risks remains in stock markets, but stock exchanges remain in the correction phase.

The US dollar index is traded in the correction phase, thereby maintaining an uptrend, which is limited to resistance levels of 89.50 and 89.80. In the conditions of preservation of this existing model of movement, from the given levels it is necessary to expect renewal of decrease.

Graph of the US dollar index. The current price is 89.30.

Hanzenko Anton