Since today’s economic calendar is bereft of any important releases from Europe, traders are focusing on the data from the US such as durable goods orders, the annual GDP growth rate data for the third quarter, the core PCE price index, personal spending and income, as well as pending home sales. The US dollar index remains bullish, trading above the level of 98.00. The nearest resistance is seen at about 98.50. If the index breaks through this level, the new price target will lie at 99.00. As long as the US dollar index is consolidating above its 200-day simple moving average, it is likely to continue trading in an uptrend. The volatility is low on the eve of Thanksgiving Day in the United States, so even minor news such as the decline in Germany’s import prices put the euro under pressure. This week, the euro is expected to remain
bearish. Currently, the pair is heading for the psychological level of 1.10. Besides, the quote’s dynamics still depends on the US dollar and the US-China trade news. After hitting its weekly lows during the European session, the pound/dollar pair recovered significantly and returned to the upper border of the daily range at 1.2850. In the early session, the pair continued to trade in a downward trend but a fall was capped at the support level of 1.2800. The pound sterling lost momentum amid the results of today’s option polls which showed that the Conservative Party’s lead over the Labour Party had narrowed. In addition to this news, the pair was also dragged down by buoyant demand for the US currency triggered by an increase in the US Treasury yields and hopes for a US-China trade deal. However, traders were not active amid the lack of important macroeconomic reports and the latest political news from the UK. This allowed the pair to rebound and grow by about 40 pips from its daily low of 1.2827. We continue to keep close tabs on the market developments. Subscribe to our channel and stay tuned! See you!