The delay in signing the tax reform bill in the United States led to the weakening of the dollar, but only in relation to the single European currency. Everything is clear with the pound, as Mark Carney continues to broadcast risks on Brexit, and did not mention anything about the problems associated with a strong rise in inflation. Hence, a purely bureaucratic issue impede the dollar to take advantage of the impressive increase in home sales in the secondary market.
Today, everything should go according to plan, especially the transfer of the signature that failed to cancel the reform itself. The pound will be under pressure since morning, as public sector borrowings are expected to grow by 8.3 billion feet. And this is nothing more than an increase in the budget deficit, which few people are happy about. But in the US, the final confirmation about economic growth rates is awaited, with expectations to accelerate from 2.3% to 2.6%. If the White House does not throw out another focus, the dollar will be able to strengthen its positions.
The euro/dollar currency pair reached a periodic range of 1.1900 (1.1880 / 1.1900), where it reached the resistance and rolled back. Probably, it can be assumed that bears will try to work out the current value in terms of resistance, thereby directing the quotation to 1,1840 ---> 1,1800.
The pound/dollar currency pair reaches the value of 1.3417 on Monday and touched the resistance again, where it turned to the previous coordinates. It is possible to assume that the downward interest will remain in the direction of the previously predicted level of 1.3300, with periodic slowdowns.
* The presented market analysis is informative and does not constitute a guide to the transaction.
