Ipek Ozkardeskaya
Swissquote Bank Ltd
There was no major news on the wire to trigger the minor selloff in global equities, so it was nothing else than a correction after a long rally following an ugly meltdown.
The US dollar index took another dive, however, and hit the lowest levels since the beginning of January. The EURUSD spiked past the 1.11 level, Cable jumped past the 1.30 psychological mark. Even a dovish statement from the Riksbank and soft inflation numbers from Canada couldn’t prevent the US dollar from extending gains against the Swedish krona and the Canadian dollar. As such the US Dollar is oversold. Gold is nearly overbought at ATH levels and the levels call for correction!
This report has been prepared by Swissquote Bank Ltd and is solely been published for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any currency or any other financial instrument. Views expressed in this report may be subject to change without prior notice and may differ or be contrary to opinions expressed by Swissquote Bank Ltd personnel at any given time. Swissquote Bank Ltd is under no obligation to update or keep current the information herein, the report should not be regarded by recipients as a substitute for the exercise of their own judgment.
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