1218 days ago
The ICE U.S. Dollar Index has bulldozed through two key technical levels — a multiyear uptrend and a Fibonacci zone — opening the door for further downside. Dollar bears will be pleased to learn the next support line is about 3% away. The 50% retracement of its trough-to-peak move over the last decade halted its rout in early 2018 and may be solid enough to stem any slide again...- source: Bloomberg, James Wong
1220 days ago
The euro-dollar currency pairs is back near 1.20, a level last reached 3 months ago. A breakout would continue the strong uptrend that started this March.
1220 days ago
Source: Gavekal
1221 days ago
After the announcement of successful vaccines creation, investors who usually rush to the Dollar in times of difficulty went bearish, expecting the Fed to keep its loose policy despite a returning growth . “The improving outlook for global growth combined with strong signals from the Fed that it will maintain loose monetary policy well into the economic recovery have been encouraging a weaker US dollar,” said Lee Hardman, a currency analyst at MUFG Bank in London.
1221 days ago
Deutsche Bank: "When EUR/USD tried to break 1.20 back in September, we cautioned against chasing the move higher and took profit on our longs. This time is different. With EUR/USD close to the highs, we think conditions are in place for a sustained break of 1.20. First, positioning is no longer extreme with CFTC leveraged long close to flat . Second, the virus wave in Europe is peaking as opposed to taking off . Third, European equity inflows are more definitively picking up . Fourth, the rate of euro appreciation has normalized and ECB verbal intervention has already happened"
