Dollar extends gains

Dollar continues rising against major rivals across the board, as stocks fell since Asian opening. Stocks and oil process fell sharply, as investors speculated that the rally in risk assets has become overextended. Risk aversion rally, was triggered past Friday’s after weak U.S. consumer confidence data, along with sharp losses in the Chinese markets during most of the past week.

EUR/USD continues hovering around daily low, and despite technical signs of oversold, nothing suggest an upside correction yet. Under 1.4048, next support comes at the 1.4010 area, ahead of stronger 1.3980. Above 1.4070, correction could extend to 1.4110 and 1.4150 area, not seen at this point. U.S. stocks market with negative cues from Asia and Europe, should continue favoring risk aversion rallies.