Expect the best levels for opening long positions on the dollar USA-Credit Agricole

“After a brief consolidation USD up overnight and is likely to continue a series of increments on the weekends. DXY is committed to a new high since 2010 against the NZD, AUD and EUR, which fall rates among G10.

Market “shaken off” from the peace-loving comments Evans, who reiterated that inflation may exceed the target level of 2%. Also, he said that the Fed should be patient before they start raising rates. These statements are in stark contrast to remarks Mester and George, who are convinced that the tightening of monetary policy is better to start sooner than later. US economic indicators and the growth of short-term rates to support the dollar in the past few months.

We adhere to the “bull” point of view on the USD, however, taking into account the dynamics of the last exchange, we can say that the dollar is ready to roll back. Most of the positions and technical indicators that we track – stretched and raises fears that the Fed will not be able to adjust its policy until December.

Economic indicators, in turn, can be unpleasant surprise, especially given the “bullish” sentiment in the market. In addition, it is worth noting that the composition of the Fed in the coming year will be dominated by representatives of the “peaceful” camp. Fisher and Plosser leave the committee, and Evans – the brightest representative of this camp – it will be a voting member.

Finally, DXY has exceeded the level determined in accordance with the 2-year yield, which indicates that the rate should be increased or DXY has to do a rollback. “- Experts say the SA.