USD Index Opens FED-Week On The Bull
After a tough close to last week, December USD Index futures are back on the bull with rates trending north of 98.000.

It has been an active open to FED week, featuring drone strikes in the Middle East and a trend reversal in U.S. Treasuries. The USD Index has been a surprise beneficiary of the action. Significant gains vs the EUR, Swiss franc, and pound Sterling have highlighted the session for the Greenback.
In today’s U.S. Treasury auction, short-term government debt took a surprise turn to the bull. The past four months have brought consistently falling yields amid an institutional flight to safe-haven assets. This morning’s auctions certainly lifted some eyebrows:
Event Actual Previous
3-Month Bill Auction 1.945% 1.920%
6-Month Bill Auction 1.870% 1.825%
Given Sunday’s drone attack on Aramco oil installations and the U.S. indices posting intraday losses, an uptick in yields is a bit counterintuitive. In addition, the USD Index is attracting some bids, with December futures rallying above the 98.000 handle.
USD Index Back Above 98.000
After a tough close to last week, December USD Index futures are back on the bull. Rates are trending north of 98.000, a positive sign for the Greenback to open FED week.
++9_16_2019.jpg)
Here are two levels to watch for the rest of the session:
- Support(1): Daily SMA, 97.820
- Support(2): Bollinger MP, 97.600
Bottom Line: In the event the December USD Index pulls back from current levels, a late-day long may come into play. Until the closing bell, I will have buy orders queued up from just above the Daily SMA at 97.875. With an initial stop at 97.765, this trade produces 20 ticks on a slightly sub-1:1 risk vs reward management plan.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Related Articles
Comments
Sidebar rates
HFM
Related Posts
Doo Prime
XM
Best Forex Brokers
