New highs for the USD, but the ranges vs majors is limited

The USD is making new highs versus a number of the major currencies including the:

  • EUR
  • GBP
  • JPY

The USD is near highs versus the CAD, AUD and NZD.

The greenback is only lower versus the CHF (by -0.02%).

Although the dollar is higher don’t get too excited. Looking at the trading ranges for the major currencies versus their 22 day average (around a month of trading), the ranges are below the averages with the EURUSD range only 44% of what is normal, the AUDUSD only 56% and the NZDUSD only 61%. So price action is somewhat limited.

US yields are a catalyst for the greenback’s rise after last week’s declines:

  • 2 year 4.942%, +11.1 basis points
  • 5 year 4.608% +12.1 basis points
  • 10 year 4.661% +10.4 basis points
  • 30 year 4.829% +7.7 basis points

This article was written by Greg Michalowski at www.forexlive.com. Source