The US dollar climbed to a fresh monthly high on Wednesday ahead of the US election after it struggled a couple of days to find buyers. Early voting is well underway across the U.S. while most of the voters are opting to mail their ballots rather than casting them in-person due to the ongoing coronavirus pandemic. As of October 29, more than 28 million people had voted early in-person. As per the opinion polls results, former US Vice President Biden has a strong lead in most national polls.
The currency pair also supported by the recent equity market sell-off. Wall Street slumped sharply this month after republicans failed to push a stimulus deal before the election. Despite months of negotiations between the White House and Congress, the hopes for a new coronavirus stimulus agreement before the election have faded away.
On Thursday, the dollar received a further boost following the strong US GDP and weekly employment claims numbers. At the time of writing, the Dollar Index hovers near the monthly high boosted by the uncertainty about the actual outcome of the US presidential election next week.
On the short- term perceptive, the immediate bias will remain bullish as long as prices are held above 93.90. On the flip side, any break below 93.30 the next support at the 93/92.70 level. Moving ahead to the next month, the investors and traders across the globe waiting for the result of the November 3 US presidential election to get a clear picture of the greenback long term direction.