Markets on Wednesday: USD Fades Through Support
Rowan Crosby • 1 min read
The USD was once again the story of the trading day on Tuesday. There was more news surrounding US President Donald Trump, although it didn’t necessarily weigh on the Greenback.
The Stormy Daniel saga continues to be in the headlines as there are suggestions now that Trump conspired to commit fraud by instructing his lawyer to pay her off.
There was limited data out on Tuesday but on Wednesday the main event will clearly be the FOMC minutes. A hawkish tone might well be in order and that might be just what the USD needs to recover its losses.
The USD is Weak
The resistance level turned support at 95.50 got crushed yesterday as the USD fell hard and fast. We’ve made a sharp drop from the highs after we broke higher last week.
We are now nearing the trendline that has been in place for the best part of four months.
That will be around the 95.00 level so that’s my next downside target. Again I am bullish and looking to buy at those levels.
The FOMC will be important today and might even turn things around quickly.