DXY: On the backfoot – OCBC
|US Dollar (USD) continued to ease away from its recent high. DXY last at 98.60 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.
Downside risks in the interim
"Temporary respite in risk sentiment, pullback in UST yields and US government staying shut (with little urgency of reopening) were some factors weighing on USD. Elsewhere, stronger JPY, EUR and RMB also saw spillover influence."
"On Fedspeaks, Miran said recent trade tensions have increased uncertainty in the outlook for growth, making it more important for policymakers to lower interest rates quickly."
"Bullish momentum on daily chart faded while RSI fell. Downside risks in the interim. Support at 98.40 (38.2% fibo) and 98 levels (21, 50 DMAs). Immediate resistance at 99.10 levels (50% fibo retracement of May high to Sep low), 99.80 (61.8% fibo), 100.20 levels."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.