Corporate reporting season will start in the United States today. Banks will be the first who will publish their financial results for the second quarter. Inasmuch as the Federal Reserve last month lifted the restrictions on the payment of dividends for commercial banks, which was introduced in the spring of 2020 in response to the COVID-19 pandemic, today bankers will be able to announce generous dividends for their shareholders, which will positively affect the value of shares of lending institutions.

Against this background, I expect the continuation of the upward trend in the US stock market S&P500, which is approaching the psychological level of 4400 points. This is a positive signal for this currency pair, insofar as it is historically correlated with the US stock index.

Trading recommendation: Buy 110.15/109.80 and take profit 110.60.