- July 23, 2018
- Posted by: Joey Benedid
- Category: Market News
The Dollar remains lower this morning as recovery from Trump’s targeted Tweet on the Federal Reserve’s independence has not materialized. Trump claimed that tighter monetary policy was penalizing the US by contributing to a stronger dollar. Over the weekend, a few other ripples emerged as Trump called out China and the EU for currency manipulation and scolded Iranian leader Rouhani for warning the US against threatening exports. The Canadian Dollar saw gains on Friday against its Southern counterpart as strong Canadian data and US Trade concerns saw USDCAD drop leading into the weekend. Canadian data is sparse this week while the US will dominate the calendar for the week.
EUR continues to trade higher despite Trump accusing the ECB of currency and interest rate manipulation. Eurozone Consumer Confidence (-0.7% vs 0.1%) will be released this morning at 10:00am EST. Sterling is trading higher, although gains are muted at this point as the bears begin to step back off of USD.
Short term support and resistance is 1.3065 and 1.3220 respectively, with RSI at 59 and the 200-day moving average residing at 1.2804