To receive Ilya's analysis directly via email, please SIGN UP HERE
Talking Points:
- US Dollar Technical Strategy: Holding Long via Mirror Trader Basket **
- Support: 10456, 10443, 10392
- Resistance:10481, 10513, 10560
The Dow Jones FXCM US Dollar Index continues to advance as expected after putting in a Bullish Engulfing candle pattern at support set from October 2013. Near-term resistance is at 10481, a horizontal pivot in play since April. A daily close above that exposes 38.2% Fibonacci retracement at 10513. Alternatively, reversal back below the 23.6% level at 10456 clears the way for a test of a rising trend line set from the July 1 low, now at 10443.
Our long-term US Dollar outlook calls for a broadly stronger US Dollar against its major currency counterparts. With that in mind, we are holding 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
