Dollar Bears on the Run as Bets
FxPremiere.com – FX Signals – The dollar ended flat Friday, but traders are warming up to the idea of that greenback’s run higher is here to stay, as bets on the world’s reserve currency turned positive for the first time since the pandemic began.
Telegram FX Signals
The U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, rose 0.06% to 92.885. Earlier this week, the greenback rose to 93.195, a nearly four-month high.
Dollar Falls as U.S. Yields Slip
The value of the net long dollar position was $399.69 million in the week ended July 20, the first long position since March 2020, compared with a net short of $4.06 billion the previous week, according to calculations by Reuters and U.S. Commodity Futures Trading Commission data released on Friday.
Live Forex Signals
EURJPY Price May Fall
A patient Fed and a further recovery in the global economy – two key ingredients for the bearish thesis on the dollar – have come under pressure in the recently, helping to shift sentiment on the greenback.
Euro set for biggest monthly drop
“The combination of a less dovish Fed and the Delta Variant has certainly hit portfolio flows to emerging markets, which have been negative in five out of the last six weeks,” ING said in a note earlier this week. “This has certainly provided support to the dollar. It is hard to see this trend turning in the immediate future.”
The Federal Reserve’s two-day meeting is just days away, and could provide further runway for the dollar to advance.
Dollar rally runs out power
While there aren’t many on Wall Street betting for a surprise change in monetary policy, further clues from the Fed on trimming its bond-purchases is expected to make a positive impact on the dollar.
“Assuming that the Fed continues to dangle the carrot of a September tapering and the global growth environment remains mixed at best, we suspect the dollar can retain its gains, if not edge higher,” ING added.
Further commentary on tapering could also set the stage of the rally in Treasury yields, which have steadied since dropping below 1.14% earlier this week.
“Our strategists think the July FOMC could be an important catalyst for higher yields. An upbeat assessment of the economy from the Fed and continued discussion of tapering could ring hawkish to the market, especially given the benign pace of hikes priced in,” Morgan Stanley (NYSE:MS) said in a note.
Dollar gains as strong run
Dollar Bears on the Run as Bets
Forex Signals
Forex Signals Learning Guides, to help you get started with trading. Grow your Learning knowledge on the capital markets. URL FxPremiere.com was Founded in 2010. Since then has grown with over 23,000 live subscribers globally. Daily Trading Alerts are sent by our VPS Networks worldwide via Telegram. Subscribe to our Signals and start receiving Forex Day Trading Signals from the very next trade! Forex Signals Learning Guides below with guide you with every trade you make!
- The fundamental Forex strategies
- The technical forex strategies
- The popular forex strategies
- In the forex strategies articles
FxPremiere Group has helped over 5,000 Forex Affiliates earn up to $800 CPA on referrals and has grown immense revenue streams for online affiliates. Trading Forex has never been easy. The World of Forex Trading is growing day by day and its crucial to keep up to date with trends and market analysis. Here at FxPremiere Group we keep you updated with the Compare Forex Brokers charting system, as well as sending you Direct Forex Signals by our Telegram Services globally daily.
FX Signals
The most traded pairs of currencies in the world are called the Majors.EUR/USD, USD/JPY, GBP/USD, AUD/USD, USD/CHF, NZD/USD and USD/CAD, Gold, Oil and many many more… Forex Trading comes with it high risk. We help by referring only the very best forex brokers available in the marketplace. Your in safe hands with our partners.With our free forex learning guides you will be able to educate yourselves with the most up to date forex basics required in order to enter the Capital Markets. FxPremiere.com Learning centre is now available for all to read. With blog posts written monthly on the most common searched terms.
Dollar Bears on the Run as Bets
The post Dollar Bears on the Run as Bets appeared first on Daily Forex Signals.
