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: 11904, 11853, 11801
- Resistance: 11968, 12050, 12114
The Dow Jones FXCM US Dollar Index looks vulnerable to deeper losses after narrowly slipping below a trend line capping losses since early May. A daily close below the 38.2% Fibonacci retracement at 11904 exposes the 50% level at 11853. Alternatively, a turn back above the 11968-77 area (23.6% Fib, trend line) clears the way for a test of the 12043-50 zone (June 1 high, 23.6% Fib expansion).
Our long-term fundamental outlook calls for a broadly stronger US Dollar against its major currency counterparts. With that in mind, we are holding long via the Mirror Trader US Dollar currency basket.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
** 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