Major support- 96.45 (200- day MA)
US dollar index is consolidating after hitting low of 96.45.The index was trading weak for past 1 week and lost more than 150 pips .The decline was mainly due to dovish comments by Fed which has increased chance of rate cut and weaker than expected US jobs data.The US 10 year bond yield hits 2.05% lowest level since Sep 2017. The index recovered till 96.94 from low of 96.46 and is currently trading around 96.72.
The near term major support is around 96.45 and any convincing break below confirms weakness a decline till 95.95/95.75/95.15 likely.
On the higher side, major resistance is around 97 (100-- day MA) and any break above will take the index to next level till 97.42/97.80/98.
It is good to sell on rallies around 97 with SL around 97.40 for the TP of 95.95/95.75.
