FxWirePro: U.S Dollar index upside capped by 21- day EMA, good to buy on dips
U.S dollar index has formed minor bottom around 92.55 and shown a minor jump from that level. It is currently trading around 93.60. The index broken minor resistance at 93.25 (10- day MA) and it has closed above that lev…
U.S dollar index has formed minor bottom around 92.55 and shown a minor jump from that level. It is currently trading around 93.60.
The index broken minor resistance at 93.25 (10- day MA) and it has closed above that level for past three days. The major resistance is around 94.05 (21- day EMA) and any break above that level will take the pair till 95/95.25 (23.6% retracement of 102.95 and 92.55).
On the lower side, any break below 93.25 will take the index till 93/92.55. Further bearish continuation only below 92.55.
In the daily chart the index has formed bullish divergence in RSI. So a small jump till 94.15 likely.
It is good to buy dips around 93.35-40 with SL around 93 for the TP of 94.05/95.
