FXCM's dollar basket, the USDOLLAR, has charted another higher trough followed by a higher peak in its series. This pattern is a continuation of the greenback's uptrend. We also note that the weekly stochastic has turned up – we are interested in seeing if it hits the 80+ region and holds (green rectangle). The underlying momentum will suggest further upside for the buck if it does. This strength comes before the FOMC statement and federal funds rate release on Wednesday, 16 March at 6:00 PM GMT. The market expects a 25bps hike in rates as the Fed sets off on its hiking cycle.
Senior Market Specialist
Russell Shor joined FXCM in October 2017 as a Senior Market Specialist. He is a certified FMVA® and has an Honours Degree in Economics from the University of South Africa. Russell is a full member of the Society of Technical Analysts in the United Kingdom. With over 20 years of financial markets experience, his analysis is of a high standard and quality.