FXCM’s USDOLLAR Supported as Conflict in Middle East Escalates
Middle East Conflict
Following the Hamas attacks and incursion into southern Israel on Saturday morning, the death toll has climbed to more than 1,100 as fighting entered its third day. More than 700 Israelis, the majority civilians, were killed in the attacks. The US has sent warships to the region in solidarity with Israel. According to the Wall Street Journal, Iranian security officials, over several meetings and months, helped Hamas plan the attack. The attack on Israel is the deadliest in 50 years and carries the highest civilian causality count. As such, financial markets begin the week on tentative footing.
FXCM's USDOLLAR Basket
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The USDOLLAR is considered the current haven of choice. Given the conflict in the middle east, FXCM's USDOLLAR basket is bid. FXCM's USDOLLAR hourly shows bullish signs. Its green 5-hour EMA has crossed above its orange 10-hour EMA and the stochastic has also crossed positively (black ellipses). The stochastic has pushed into the 80+ levels (blue arrow). If it maintains at these levels, there will be an underlying bullish momentum which will support the USDOLLAR price.
Russell Shor
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.
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