The continuation of the uptrend in the US stock market will provide good support for this currency pair, inasmuch as the assets are highly correlated with each other. In the United States the Russell 2000 Index, which includes small-cap companies, is the leader in growth now. This index has outstripped the S&P500 and DJI30 in terms of growth rate three times since the beginning of the year.

In the past, such dynamics have always signaled the existence of strong demand for stocks from banks and investment funds. In my view, this time the situation will repeat itself, inasmuch as a substantial surplus of dollar liquidity has formed in the financial system, which allows bankers to speculate on stock exchanges.

Investment idea: Buy 105.41/105.20 and take profit 105.80.