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.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
More View more
Real Time News
  • Take a closer look visually at the most influential global importers and exporters here: https://t.co/G58J1dg6y3 https://t.co/fGi6YgqqQt
  • What suits your style of trading stocks or commodities? Find out what are the differences in these two markets here: https://t.co/BnA07cMV0s https://t.co/fdigOgkmio
  • A forex trader is strategic, disciplined and always switched on to the markets. Learn how to build an FX mindset here: https://t.co/tB3aAErd70 https://t.co/Ilqz8BWTk0
  • The final ‘full’ week of the year brings about the last wave of significant event risk from around the globe, including three central bank rate decisions (Fed, BOE, & BOJ). Get your market update from @CVecchioFX here:https://t.co/PhqxSPlngI https://t.co/XX57vSjQwV
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/HOvzuOICQx
  • Ever wonder if there are other chart types that can be sued for technical analysis? HLOC charts are discussed in the following article as well as their pros and cons. Learn more here: https://t.co/qV3c7a4YR3 https://t.co/32hYzqhuZ9
  • The Australian Dollar sits on the crossroads of Treasury yields, the S&P 500 and US fiscal stimulus expectations. Will $AUDUSD gains slow? Chinese Q4 GDP and Australian jobs data are due. Get your market update from @ddubrovskyFX here: https://t.co/BsYmmWFYOH https://t.co/HhLqb2iVgk
  • #Gold prices have come under significant pressure to kick-off 2021. However, the formation of bullish technical patterns across multiple timeframes suggests that a rebound higher may be at hand. Get your market update from @DanielGMoss here: https://t.co/Dpf8N4Fh0T https://t.co/pnZpnM9yT5
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Learn about the importance of the ISM manufacturing index here: https://t.co/Xr3xtoFpZy https://t.co/yCtLFemdNc
  • GBP underpinned as BoE downplays negative rates, alongside vaccine rollout. Get your market update from @JMcQueenFX here: https://t.co/n6V6uw0XV5 https://t.co/Toq2fxSdBE
Dollar (DXY) Primed Ahead of FOMC: Levels to Know

Dollar (DXY) Primed Ahead of FOMC: Levels to Know

2017-06-13 20:11:00
Michael Boutros, Strategist

Talking Points

DXY Daily

DXY Daily Chart

Technical Outlook: The DXY has been trading within the confines of this descending slope formation extending off the yearly highs with the index turning just ahead of confluence support at 96.47 last week. Heading into tomorrow’s highly anticipated FOMC interest rate decision, the focus is on a break of the monthly opening range which has taken shape just above. Note that bullish divergence in the daily RSI profile into the recent lows warn of waning momentum with a resistance trigger pending. Simply put- the index is rebounding of downtrend support- whether it maternities into a more meaningful recovery is the question heading into FOMC.

DXY 120min

DXY 120min Chart

Notes: A closer look at price action highlights an embedded ascending pitchfork formation extending off the lows with a sliding parallel catching last week’s high (red). Monthly-open support is now being tested at 96.98 and is backed by more significant support zone at 96.70/80 – A region defined by the yearly low-day close, the May swing low and the lower median-line parallel (blue). A break below this level would be needed to keep the near-term focus lower targeting 96.47.

Look for initial resistance at the weekly open at 97.27 with a breach above the 97.51/57 needed to shift the broader focus back to the topside. Bottom line: if we’re going to see a bounce, it may come from these levels- either way we’ll want to ultimately use such a rally as an opportunity to get back on the short-side. Keep in mind markets have largely priced in a 25basis point hike and the focus will be on the updated interest rate dot-plot and the monetary policy outlook over the medium-term horizon. Added caution is warranted heading into the subsequent presser with Chair Janet Yellen with the session likely to fuel added volatility in the USD crosses.

See how shifts in retail positioning are effecting market trends- Click here to learn more about IG Client Sentiment indicators!

---

Relevant Data Releases

Dollar (DXY) Primed Ahead of FOMC: Levels to Know

Other Setups in Play:

- Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list.

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

DISCLOSURES