Major support- 97.40
US dollar index trades higher after upbeat US NFP data. US economy has added 266K compared to a forecast of 181K in the month of Nov, the unemployment rate at 3.5% vs 3.6% estimate. It hist high of 97.68 and is currently trading around 97.68.
According to the FedWatch tool, the chance of keeping rates unchanged has increased to 94.1% from 99.3%, the probability of rate cut declined sharply to 0.7% from 5.9%.
On the higher side, near term resistance is around 97.84 and the violation beyond will take the pair till 98.25/98.60.
The major support is at 97.40, the indicative break below targets 97.20/97.
It is good to buy on dips around 97.65 with SL around 97.40 for the TP of 98.25.
