US Dollar Talking Points:
- The US Dollar[1] is holding Fibonacci support after last week’s FOMC-fueled break to fresh monthly lows. The currency has softened after a year of 2018 that’s brought a general tonality of strength; and the big question as the 2019 open nears is whether that can continue – or whether a redux of 2017 may be in the cards when USD[2] weakened by as much as -15%.
- Key to the Dollar’s performance for next year will be counterparts: Euro[3] strength in 2017 assisted greatly with that USD-breakdown, and for next year the prospect of Yen-strength remains on the cards after the BoJ made initial steps away from the bank’s 2% inflation targets.
- DailyFX Forecasts on a variety of currencies such as the US Dollar[4] or the Euro[5] are available from the DailyFX Trading Guides page[6]. If you’re looking to improve your trading approach, check out Traits of Successful Traders[7]. And if you’re looking for an introductory primer to the Forex market, check out our New to FX Guide[8].
Do you want to see how retail traders are currently trading the US Dollar? Check out our IG Client Sentiment Indicator[9].
US Dollar Holds Fibonacci Support as Year-End Nears
Next Monday marks the final day of 2018, and this has been a year that’s seen the US Dollar recover after a brutal year of 2017. Opening the door into 2019 will bring a host of concerns[10], chief of which are Fed policy and Trade Wars, and this will likely keep the US in the
