The dollar index has slightly changed from yesterday’s session while the market climbed towards $113.20 in the early European trading session, rising for the fifth consecutive session.

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The greenback is lifted by potential further tightening by the U.S central bank FED and safe-haven demand as of economic and geopolitical risks.

The better than expected US jobs report from Friday kept the FEd to continue with the aggressive monetary policy to hike interest rates as investors look forward to the inflation data due on Thursday.

The FOMC minutes on Wednesday might be able to give more clues about the rate hike path with additional appearance of Fed officials this week.

The current geopolitical risks and economic situation with the rising inflationary pressure in various nations leading investors into the haven demand for the dollar as the IMF and World Bank are about to warn of risks of a slowdown.

Japanese authorities might intervene into the currency again by selling dollar reserves which could pressure the greenback lower as the rate rose towards the bracket highs towards 145 JPY, back to levels before the previous interventions of the government.

Forecasts pointing towards $120, approaching the upper historical standard deviation level for potential resistance.

The daily intervals are about to reach the bracket highs, trending higher with a bullish bias as the hourly seemingly found some supportive buyers around the prior VWAP close level.

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