Don’t Expect Current Currency Trends to ReversePosted 09/28/2018 9:51AM CT |
Dollar: The USD is in a clearly defined uptrend and it looks to remain that way to finish the week, with a possible return to the September highs of 9528. The U.S. scheduled data, and the Fed commentary this week were both supportive of the USD, especially against ongoing global geopolitical uncertainty. A new record low in German unemployment and suggestions from both Chinese negotiators and the Canadian Prime Minister hinting at ongoing negotiations.
Euro: Clearly the fresh record low in the German unemployment and an uptick in euro zone flash inflation are not capable of arresting the slide in the euro. Near-term downside targets are seen around 16100, especially if there is solid U.S. data.
U.S. Dollar Index Dec ’18 Daily Chart
Euro FX Dec ’18 Daily Chart