USD Reverses from Key Resistance Zone

Last week we highlighted a key confluence resistance range in the US Dollar Index (DXY) at 91.20/27 and, “although the broader outlook remains constructive, the near-term technical picture suggests price may be vulnerable heading into this key zone.” The USD closed just below this threshold on Friday and the risk remains for further losses while below this threshold.

Key Levels in Focus

DXY – Resistance at 94.20/27. Initial support at 93.43 & 92.64, broaderbullish invalidation at 92.28

EURUSD – Key near-term support at 1.1705(subsequent support 1.1616). Resistance 1.1827 backed by 1.1915

AUDUSD – Initial support 7582 with bullish invalidation now raised to 7481. Topside resistance objectives at 7660 backed by 7708 (head & shoulders measured objective)

USDCHF – Support at 9846/52- Resistance & near-term bearish invalidation at 9908

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The Reserve Bank of Australia (RBA) interest rate decision highlights a rather light week of event risk. In this webinar we review updated technical setups on DXY, EURUSD, AUDUSD, USDCHF, USDCAD, GBPUSD, GBPAUD, GBPJPY, Gold, SPX (S&P 500).

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Key Data Releases

 Economic Calendar

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Other Setups in Play:

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---Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex or contact him at mboutros@dailyfx.com