{"id":14454,"date":"2024-10-14T12:04:42","date_gmt":"2024-10-14T12:04:42","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=14454"},"modified":"2025-02-16T10:55:26","modified_gmt":"2025-02-16T10:55:26","slug":"forex-market-analysis-14-october-2024","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/tr-mena\/analysis\/forex-market-analysis-14-october-2024\/","title":{"rendered":"Forex market analysis: 14 October 2024"},"content":{"rendered":"\n<p>The US dollar gained strength following economic data that slightly exceeded inflation expectations, while jobless claims saw a modest increase. Traders are closely monitoring evolving Federal Reserve policies, as comments from Fed Governor Christopher Waller later today could provide further direction. With geopolitical risks and inflationary pressures in focus, the dollar remains a key safe-haven asset, prompting interest in its short-term technical outlook.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h1 class=\"wp-block-heading has-medium-font-size\"><strong>Dollar strengthens as rate cut expectations diminish<\/strong><\/h1>\n\n\n\n<p>The dollar has shown strength due to tempered expectations for significant rate cuts, following recent US economic data. Inflation was slightly higher than anticipated, although jobless claims also rose to 258,000.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Dollar extends gains while investors parse China&#39;s stimulus plans <a href=\"https:\/\/t.co\/rWJ5UUBdCh\">https:\/\/t.co\/rWJ5UUBdCh<\/a> <a href=\"https:\/\/t.co\/2xkn6W14cE\">pic.twitter.com\/2xkn6W14cE<\/a><\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/1845634392007307584?ref_src=twsrc%5Etfw\">October 14, 2024<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p>Later today, comments from Fed Governor Christopher Waller could provide further clarity, as he has previously signalled support for lowering rates to counter cooling inflation.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h1 class=\"wp-block-heading has-medium-font-size\"><strong>Technical analysis<\/strong><\/h1>\n\n\n\n<p>The US Dollar Index (USDX) closed at 102.805, marking a modest gain of 0.15% for the session.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"449\" src=\"https:\/\/www.vtmarkets.com\/tr\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1.jpeg\" alt=\"\" class=\"wp-image-14455\" srcset=\"https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1.jpeg 1024w, https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1-300x132.jpeg 300w, https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1-768x337.jpeg 768w, https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1-500x219.jpeg 500w, https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1-400x175.jpeg 400w, https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1-350x153.jpeg 350w, https:\/\/www.vtmarkets.com\/tr-mena\/wp-content\/uploads\/sites\/9\/2024\/10\/image-19-1024x449-1-200x88.jpeg 200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">US Dollar Index climbs to 102.805, with bullish momentum building as it tests resistance near 102.945 amidst shifting Fed policy expectations, as seen on the <a href=\"https:\/\/apps.apple.com\/au\/app\/vt-markets-online-trading\/id1372647263?mt=8\" target=\"_blank\" rel=\"noopener\" title=\"VT Markets app\">VT Markets app<\/a>.<\/figcaption><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p>The index fluctuated within a range of 102.685 to 102.870, indicating steady but limited upward momentum.<\/p>\n\n\n\n<p>The MACD (12, 26, 9) has moved into positive territory, with the MACD line rising above the signal line and the histogram bars expanding, pointing to increasing bullish sentiment.<\/p>\n\n\n\n<p>The price also sits above key moving averages (5, 10, and 30 periods), confirming a bullish trend.<\/p>\n\n\n\n<p>Key levels to monitor include the session high of 102.945, which serves as near-term resistance. A breakout above this level could trigger further gains.<\/p>\n\n\n\n<p>On the downside, 102.435 is a critical support level. A drop below this point may signal a potential decline, with the next target around 102.200.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h1 class=\"wp-block-heading has-medium-font-size\"><strong>Fed policy and geopolitical concerns keep dollar demand strong<\/strong><\/h1>\n\n\n\n<p>Market sentiment towards the US dollar has strengthened, driven by ongoing assessment of inflation data and evolving Federal Reserve policy expectations.<\/p>\n\n\n\n<p>Recent inflation reports have slightly exceeded forecasts, leading traders to closely monitor the Fed\u2019s next moves. The Federal Reserve\u2019s dovish shift, with policymakers hinting at a pause in the rate-hiking cycle, has tempered some of the dollar\u2019s upward momentum.<\/p>\n\n\n\n<p>This pause signals that the Fed may be more cautious about further tightening monetary policy, particularly as inflationary pressures ease.<\/p>\n\n\n\n<p>Despite this, geopolitical factors are playing a critical role in maintaining the dollar\u2019s appeal. Ongoing conflicts and tensions\u2014ranging from the war in Ukraine to heightened concerns in the Middle East and strained US-China relations\u2014have contributed to global economic uncertainty.<\/p>\n\n\n\n<p>As a result, demand for riskier assets has decreased, pushing investors towards the US dollar as a safe-haven currency.<\/p>\n\n\n\n<p>Additionally, declining oil prices, driven by the slowdown in China&#8217;s economy, along with the impact of sanctions on global trade, are contributing to market volatility, reinforcing the dollar&#8217;s position as a stable store of value.<\/p>\n\n\n\n<p>Consequently, even with a more dovish Federal Reserve, the US dollar is likely to continue benefiting from geopolitical risks and shifts in global risk sentiment.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p>Click <a href=\"https:\/\/www.vtmarkets.net\/trade-now\/?utm_campaign=account_c&amp;utm_source=dma&amp;utm_medium=website\" target=\"_blank\" rel=\"noopener\" title=\"here\">here<\/a> to open account and start trading.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The US dollar gained strength following economic data that slightly exceeded inflation expectations, while jobless claims saw a modest increase. Traders are closely monitoring evolving Federal Reserve policies, as comments from Fed Governor Christopher Waller later today could provide further direction. With geopolitical risks and inflationary pressures in focus, the dollar remains a key safe-haven <a href=\"https:\/\/www.vtmarkets.com\/tr-mena\/analysis\/forex-market-analysis-14-october-2024\/\" class=\"read-more\">Continue Reading<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2],"tags":[],"class_list":["post-14454","post","type-post","status-publish","format-standard","hentry","category-analysis"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/posts\/14454","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/comments?post=14454"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/posts\/14454\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/media?parent=14454"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/categories?post=14454"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/tr-mena\/wp-json\/wp\/v2\/tags?post=14454"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}