US Dollar Technical Analysis – Waiting to Renew Advance
To receive Ilya's analysis directly via email, please SIGN UP HERE
- US Dollar Technical Strategy: Holding Long via Mirror Trader Basket **
- Support: 10474-95, 10404 (channel top)
- Resistance:10531 (May 28 high), 10589-619
The Dow Jones FXCM US Dollar Index remains in consolidation mode after securing a key upside breakout three weeks ago. The first layer of significant resistance remains at 10531, the May 28 high. A daily close above that exposes the 10589-619 region. Support is in the 10474-95 area, with a reversal below that opening the door for a retest of a recently broken falling channel top at 10404.
Our long-term fundamental outlook continues to favor a broadly stronger US Dollar against the benchmark unit’s major counterparts. As such, we remain long via theMirror Trader US Dollar currency basket.
Daily Chart - Created Using FXCM Marketscope 2.0
** The Dow Jones FXCM US Dollar Index and the Mirror Trader USD basket are not the same product.
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.