The good news for the currency pair is the rise in the US stock market, inasmuch as assets have been historically correlated with each other. The US Treasury continues to actively spend money from its account in the Federal Reserve. Over the past week the figure fell by $55.5 billion, to $258.2 billion.

The increase in government spending contributes to the growth of corporate income, which has a beneficial influence on the capitalization of the stock market. The bad news for this pair is sales of the dollar after the Jackson Hole Economic Symposium, where Jerome Powell said that interest rates should not be expected to rise in the next twelve months.

Trading recommendation: flat 109.30 – 110.15.