The US stocks are trading to new lows with the:
- Dow down -550 points -1.65%
- S&P -67.0 points or -1.74%
- NASDAQ -228 points or -2.15%
While the stocks moved lower, the dollar is moving higher. There has been the pattern seen the last few days when the dollar moved lower for 3 consecutive days in the stocks moved higher for the same period.
Taking a look around the forex markets:
- EURUSD: The EURUSD is trading back below the parity level and moving farther away from its 100 day moving average 1.00366. A swing area between 0.9965 and 0.9975 is next target. Below that, the 100 hour moving average at 0.99532 is the next major target on the downside.
- USDJPY: The USDJPY is trading to a new high and in the process is testing its 100 hour MA at 146.726. A swing area between 146.81 to 146.985 followed by the 200 hour MA are the next upside targets on more upside. The current price is stalling at the 100 hour MA so far but still close to that level.
This article was originally published by Forexlive.com. Read the original article here.