Important events today:

14:00 UTC – US: ISM Services Business Activity Index.

We open Buy positions for two reasons. First, rising US government bond yields will have a favorable impact on the value of the dollar against the Japanese yen, as the Bank of Japan has no plans to raise interest rates in the near future, which limits the growth of US government bond yields. The yield differential is widening in favor of the dollar, which is positive for the U.S. currency. Secondly, the US Treasury Department will hold $130 billion in Treasury bond auctions today, which will reduce free liquidity in the financial system and have a favorable impact on the dollar’s strength.

Recommendations: Buy 143.68/143.35 and TP 145.07.