Investors are currently piling funds into the greenback with the risk of virus mutants developing and spread to other geopolitical areas.
Recent price actions reveal dollars bull has propelled are holding sway as a confirmation above such level kept the bears gasping for support based on today’s intra-day chart.
Currency traders anticipate Wednesday’s close far below such level might indicate another sign sellers still call the shots even if a small jump occurs above the threshold.
A strong booster for the greenback, the 10-year Treasury yield at the timing of writing this report, was trading around its lowest levels since mid-March, thereby suggesting investors are relatively showing more interests to riskier assets amid the unprecedented stimulus packages in play as the benchmark yield asset range momentarily, following its retreat from a 14-month high at the end of last month.
In addition, recent candlesticks price patterns point to a piece of mounting evidence that U.S dollar bulls seem to be exhausted with the U.S Federal Reserve stance on an ultra-low interest rate policy amid rising inflation that appeared to have led to declines in U.S. yields and the greenback this month.
Although dollar bulls, a day ago have recently halted the previous six trading sessions, sellers’ pressure still remain with an inflation-fear-induced surge in Treasury yields triggering capital flights in the U.S Treasury bond market in spite of recent solid U.S. economic data.