Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

Free Trading Guides
Please try again

Live Webinar Events


Economic Calendar Events


Notify me about

Live Webinar Events
Economic Calendar Events






More View More
Broader USD course still unclear

Broader USD course still unclear

Kristian Kerr, Sr. Currency Strategist


The medium-term picture at the moment in the FXCM US Dollar Index (equally weighted basket of USD versus EUR, JPY, GBP & AUD) couldn’t be less clear. There is some risk that a broader topping pattern is tracing out, but it would take a move under the May lows (and 200-day moving average) around 11,600 to confirm such a negative shift. There is also plenty of risk that the correction against the primary uptrend has already run its course and USD is set to head higher again, but traction above the June high (and 78.6% retracement of the April-May decline) is desperately needed to confirm such a resumption. In the near-term with the index content to hover around the 50-day moving average (currently 11,850) and the 11,900 50% retracement of the April - May decline there is little to do but wait and let things play out. The spike high from Monday at 11,922 and the mid-June low near 11,730 are more immediate pivots.

Still short EUR/USD. Strength over 1.1275 forces a re-think.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.