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.



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
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Wall Street
More View more
Real Time News
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here:
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.20% 🇨🇭CHF: 0.16% 🇪🇺EUR: -0.01% 🇦🇺AUD: -0.06% 🇨🇦CAD: -0.08% 🇬🇧GBP: -0.23% View the performance of all markets via
  • Turkey's central bank raises reserve requirement ratios - BBG $USDTRY
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Gold: 0.12% Silver: -0.06% Oil - US Crude: -1.57% View the performance of all markets via
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.73%, while traders in NZD/USD are at opposite extremes with 74.62%. See the summary chart below and full details and charts on DailyFX:
  • BoC Deputy Governor Wilkins: Real estate bounce back has been 'sharp, 'aggressive' Pent-up demand drove sharp housing rebound Doesn't see a lot of speculation in housing - BBG $CAD
  • BoC Governor Macklem: Negative rates in toolkit; not being discussed Could lower effective lower bound, not be negative Ample scope to scale up QE if needed - BBG $CAD
  • Indices Update: As of 21:00, these are your best and worst performers based on the London trading schedule: US 500: 0.00% Wall Street: -0.00% France 40: -0.20% Germany 30: -0.21% FTSE 100: -0.26% View the performance of all markets via
  • I’ve outsmarted the onions! Happy thanksgiving everyone 🦃
  • Contrary to standard belief, greed and profits are often inversely correlated in trading. Remaining disciplined is key to a successful trading strategy. Learn how to control greed when trading here:
US Dollar Price Remains Supported Heading into Next Week's FOMC Meeting

US Dollar Price Remains Supported Heading into Next Week's FOMC Meeting

2018-09-18 09:20:00
Nick Cawley, Strategist

US Dollar News and Technical Analysis:

  • US dollar haven bid fades as President Trump applies tariffs.
  • USD will remain supported as interest rates are raised.

The DailyFX Q3 USD Forecast is available to download.

US Dollar Juggling Trade Tariffs, FOMC and US Treasury Yields

The US dollar index (DXY) touched a six-week low Monday and broke through a noted technical support level before rebounding higher. The original fade lower came on the back of news that the US would impose tariffs on $200 billion of Chinese imports at a rate of 10%, not 25% as originally thought. The USD’s haven allure reappeared after China said that it would retaliate against the latest round of tariffs which come into effect next week. The US tariffs will increase to 25% in January1 2019 unless the US - China trade imbalance has improved.

The Impact of Tariffs and Trade Wars on the US Economy and the Dollar.

As trade wars rear their head again, US Federal Reserve speakers are in a self-imposed purdah and can say nothing ahead of next week’s FOMC meeting, where a 0.25% rate hike is fully expected. The Fed has raised rates twice already this year and is also expected to hike again at the December meeting, making a total of four hikes, or 1%, in 2018.

Interest Rates and the FX Market

This tightening US monetary policy can be seen clearly in the US Treasury market, especially the short-tend where yields are trading at decade highs. The interest-rate sensitive 2-year UST currently yields 2.78%, a level last seen at the start of 2008, and is expected to break 3% over the next few months as the Fed normalizes monetary policy further. This will continue to support the greenback as investors chase higher-yielding short -term assets.

The US dollar is currently supported by Fibonacci retracement at a fraction under 94.00 while the 93.70 – 93.85 zone has also held firm since early July. A break lower could see the July 9 low at 93.33 come into view. On the upside 94.50 – 94.80 zone is important ahead of 95.20.


US Dollar Index (DXY) Daily Price Chart (January – September 18, 2018)

US Dollar Price Remains Supported Heading into Next Week's FOMC Meeting

USD Showing Signs of Exhaustion, Upside Limited

See how retail traders are positioned across a wide range of financial markets, and why it matters, by downloading the IG Retail Sentiment

The DailyFX Economic Calendar has a full rundown of all data points of interest with prior readings and the latest expectations. You can personalize the calendar to show you specific countries, grouping of countries and data importance.

Traders may be interested in two of our trading guides – Traits of Successful Traders and Top Trading Lessons – while technical analysts are likely to be interested in our latest Elliott Wave Guide.

--- Written by Nick Cawley, Analyst

To contact Nick, email him at

Follow Nick on Twitter @nickcawley1

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