Markets on Thursday: Trade Wars Can’t Stop the USD
Rowan Crosby • 1 min read
The trade wars have been all but forgotten about it seems, as the USD continues to rally. The DXY is currently testing resistance, a level that has put the brakes on in the past. But overall there doesn’t appear to be anything much weighing on the Greenback.
Across the board USD dollar strength kept the pressure on the majors. The EUR/USD is still weak. Along with the GBP/USD, which had more Brexit headlines pushing prices around.
The commodity currencies have also continued to sell-off, although the selling in the AUD is a little slower than what we have seen. The Kiwi has been one of the weakest though.
Bitcoin is still sitting right on key resistance and I am waiting for this one to go either way. I feel this is a time to be selling especially as we head into the weekend.
USD is at Resistance
The USD has been pushing up into the resistance level at 95.00. We finished the day above this point and so far there doesn’t seem to be a case for it to hold.
That means the 96.20-96.50 level will be firmly in focus as we end the week. There isn’t too much large data out that will push us around so we are really just taking the market’s lead and seeing where we end up.
To the downside 93.30 now appears a very long way off
US Dollar Index (DXY) – 240 min Chart.