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4:51 PM · 4 December 2023

US dollar strengthens as US Equities Fall

Today's trading session is characterized by declines in US equities, which are bolstering the US dollar against major currencies.

In the case of EUR/USD, we can observe that the pair is currently testing a significant support zone at 1.08284. A breakthrough of this level could potentially trigger a new downward movement.



 

1 hour time frame chart. Source: xStation 5


Adding to all of this, the S&P 500 volatility index is showing signs that it may rise again, which in theory should also support a recovery of the US dollar against other currencies, especially against the euro.


Vix, Daily time frame chart. Source: xStation 5

Currency Strength. Source: currency-strength.com

Henrique Tomé,
Analyst Portugal
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