News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Graphic Rewind: US Dollar Volatility Shrinks Ahead of Fed Rate Decision

Graphic Rewind: US Dollar Volatility Shrinks Ahead of Fed Rate Decision

Benjamin Spier, Technical Strategist

Talking Points:

  • US Dollar sees little volatility ahead of the FOMC decision
  • Aussie gains against the greenback on Stevens comments

A look back at the past 24 hours of Forex trading using movements in the US Dollar Index:

US Dollar 15-Minute 12:00 12/17 to 12:00 12/18 EST

Graphic_Rewind_US_Dollar_Volatility_Shrinks_Ahead_of_Fed_Rate_Decision_body_Picture_1.png, Graphic Rewind: US Dollar Volatility Shrinks Ahead of Fed Rate Decision

Want to trade with proprietary strategies developed by FXCM? Find out how here.

I’ve written this line over and over for the past few days, and I get to write it again one last time today: economic news failed to bring lasting moves in the Dow Jones FXCM Dollar Index, as traders remained poised for the upcoming Fed taper decision.

Volatility remained tight in the US Dollar Index ahead of the Fed rate announcement. The greenback declined slightly against the Aussie at the start of the Sydney session, on some comments from RBA Governor Stevens. Following small volatility in the London morning, the US Dollar headed back towards the daily high at the start of the NY session. US housing starts significantly beat expectations in November, sending the greenback temporarily higher.

(The Fed’s taper decision was announced shortly after this writing and will be included in tomorrow’s graphic rewind.)

New to Forex? Watch this video

Charts created by Benjamin Spier using Marketscope 2.0

-- Written by Benjamin Spier, DailyFX Research. Feedback can be sent to .

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.