Markets on Wednesday: The USD Keeps on Tumbling
Rowan Crosby • 1 min read
It was the case of another day and another fall for the USD. Early on it looked like the poor old Greenback might have a bit of chance, but by the close of the US session, we were back doing what we’ve always been doing.
As a result, the majors gained ground versus the USD. The AUD was relatively weak as it still grapples with 80 cents. However, there was more strength in the GBP as has been the case all week.
The EUR/USD remains towards the very top of its range as we near Thursday’s ECB Meeting which will be sure to throw the cat amongst the pigeons.
Bitcoin (BTC) once again tested the lows and has bounced off 10,000 support. We are at an important level in for Bitcoin as if we break the most recent swing lows then things will start getting ugly.
The USD’s Decline
We are now getting very close to the 90.00 level on the US Dollar Index. However, I think there is still more pain to come. I can’t see much reason for there to be any buying just yet. The trend is still strong.
If anything I’ll be looking to sell bounces. 90.50-90.75 might offer us a good opportunity at the moment, as it’s hard to see us pushing back to 91.00 in the next few sessions.