FxWirePro: US Dollar Index upside capped by 23.6% fibo, good to sell on rallies
US Dollar index formed a minor top at 97.78 yesterday and started to decline from that level. It is currently trading around 96.99. Short term trend is still weak as long as index not able to break above 98.08 (23.6% fib…
US Dollar index formed a minor top at 97.78 yesterday and started to decline from that level. It is currently trading around 96.99.
Short term trend is still weak as long as index not able to break above 98.08 (23.6% fibo). The index has shown a huge decline from the high 103.82 and downside capped by 61.8% fibo at 96.40 and bearish continuation can be seen below that level.
The near term resistance is around 98.10 (23.6% retracement of 102.25 and 96.80) and any close above will take the index till 98.60 (support turned into resistance)/ 99.41 (200 MA)/99.89.
On the lower side, major near term support is around 96.40 (61.8% fibo) and any break below will drag the index till 95.91 (Nov 9th 2016 low)/95.
It is good to sell on rallies around 97.25-97.30 with SL around 98.10 for the TP of 95.90.
