Slobodan Drvenica
Windsor Brokers
US Dollar Index
The dollar index hit new highest in two and a half months following fresh acceleration higher on Wednesday, sparked by renewed hawkishness from Fed.
Comments that there are no significant reasons for the central bank to pause its rate hiking cycle and growing signals that the Fed may keep high borrowing cost longer, provided boost to the greenback.
Fresh gains generate initial signal of bullish continuation after the action was paused for consolidation in past three days and pressuring targets at 104.58/70 (Fibo 76.4% of 105.85/100.45 / Mar 15 lower top), break of which would unmask key barriers at 105.49/85 (200DMA / Mar 8 top).
Overbought daily studies warn of possible extended consolidation, with larger bulls expected to remain intact while holding above 103.75 zone (higher base / broken Fibo 61.8% / rising 10 DMA).
Near-term action may also move at a lower pace as markets await release of US labor report for May on Friday, which is expected to generate stronger signals and also give more evidence about
Fed’s decision in mid-Jube policy meeting.
Stronger than expected NFP numbers (180K f/c) would further boost the greenback and also raise probability of another rate hike in June.
Res: 104.58; 104.70; 105.49; 105.85.
Sup: 103.91; 103.75; 103.15; 102.83.
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
AUD/USD rises on mixed US inflation, jobs data ahead of PPI
The Australian Dollar snaps five straight days of losses and climbs over 0.35% as data showed that inflation in the United States was higher than foreseen, but a soft jobs report tempered the Greenback’s advance. The AUD/USD trades around 0.6738 and bounced off a daily low of 0.6699.
EUR/USD falls back as US CPI inflation data prints above expectations
EUR/USD managed to maintain a finger grip on chart paper north of the 1.0900 handle. Fiber wound up closing lower, but recovered just enough to pull back from a deeper test of the 200-day Exponential Moving Average.
Gold price edges up after US CPI data, yet remains below $2,650
Gold prices recovered some ground on Thursday during the North American session, edging up some 0.67% after a hotter-than-expected US inflation report, which was tempered by soft US jobs data. Nonetheless, recent hawkish comments by a Federal Reserve official capped the precious metal’s advance.
Bitcoin risks worst October in six years following high US inflation data and S&P 500 correlation
Bitcoin and the crypto market trended downward on Thursday as the US Consumer Price Index data for September showed that inflation is rising again, reducing the already slim chances of the Federal Reserve cutting its interest rate by another 50 basis points in November.
RBA widely expected to keep key interest rate unchanged amid persisting price pressures
The Reserve Bank of Australia is likely to continue bucking the trend adopted by major central banks of the dovish policy pivot, opting to maintain the policy for the seventh consecutive meeting on Tuesday.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.