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. See our updated Privacy Policy here.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • What is your forex trading style? Take the quiz and find out:
  • RBNZ's Hawkesby talking "considered steps" when setting monetary policy, leaning towards 25bps - With money markets pricing in 31bps worth of tightening at the October meeting. Room for disappointment.
  • Gold has plunged nearly 5% off the Monthly high with the sell-off now probing key weekly support here at 1738/47- looking for a pivot here with the Fed interest rate decision on tap. Get your $XAUUSD market update from @MBForex here:
  • RBNZ: - We have benefitted from a robust rebound in China, our main trading partner - The interruption to the economy's supply side has lasted longer than expected
  • RBNZ: - Vaccination program has aided a stronger-than-expected rebound in the global economy - Demand for our exports has fared better than previous recessions
  • Between the volatile risk trend picture at the moment along with the Fed rate decision and expected 100bp hike from the Brazilian central bank both on Wednesday, $USDBRL is going to be a very interesting pair to watch...
  • RT @EricBalchunas: $SPY traded more than the Top 5 stocks combined. Just when you think $SPY is fading away like an aging legend you realiz…
  • Bitcoin sharply lower on the day, but well off session lows around $42,500 $BTCUSD #Bitcoin
  • You know what index didn't suffer an overtly threatening reversal this past session? The Russell 2000. It didn't continue the same steady climb through 2021 that the Dow, SPX and Nasdaq enjoyed; so not as much excess premium
  • USD/JPY extends the rebound from the weekly low (109.11) as the stronger-than-expected US Retail Sales report fuels speculation for an imminent shift in monetary policy. Get your $USDJPY market update from @DavidJSong here:
Dollar Price Outlook: USD Reversal Threatens Deeper April Correction

Dollar Price Outlook: USD Reversal Threatens Deeper April Correction

Michael Boutros, Strategist

US Dollar Technical Price Outlook: DXY Weekly Trade Levels

  • Dollartechnical trade level update – Daily & Intraday Charts
  • USD reverses sharply off 2016 high-close; risk for further losses while below 100
  • DXY sell-off approaching initial support objectives

The US Dollar plummeted more than 2.4% off fresh multi-year highs this week with DXY threatening a false-breakout of uptrend resistance. This week’s volatility continues a string of massive swings in the greenback with USD marking ranges in excess of 2% for the past four consecutive weeks. The recent price collapse is testing initial support here and the focus is on a the weekly close with respect to the 100-handle for guidance. These are the updated technical targets and invalidation levels that matter on the US Dollar Index (DXY) weekly price chart. Review my latest Strategy Webinar for an in-depth breakdown of this US Dollar trade setups and more.

US Dollar Index Price Chart – DXY Weekly

US Dollar Index Price Chart - DXY Weekly - USD Trade Outlook - Technical Forecast

Chart Prepared by Michael Boutros, Technical Strategist; US Dollar Index on Tradingview

Notes: In my last US Dollar Weekly Price Outlook our bottom line cited that the DXY sell-off had, “covered the entire yearly range in under three weeks with the decline now approaching the first major support hurdle.” We noted that, “Ultimately, a break / close below last year’s low at 95.03 is needed to fuel the next leg lower in the Dollar...” The index briefly probed below to register a low at 94.65 before reversing sharply higher with the dollar failing at the 2016 high-close / parallel resistance at 102.95. Another sharp reversal this week takes price back below the initial yearly opening-range highs with price paring half the entire yearly range in one week.

Initial weekly support here at 98.81 backed by confluence a 61.8% Fibonacci confluence at 97.83/87 - look for a bigger reaction there IF reached with a close below needed to suggest a more significant high was registered this week. Such a scenario would shift the focus back towards 97.35 and yearly open support at 96.50. Initial resistance now back at 98.98- a close above this threshodl would be needed to keep the broader long-bias viable heading into next week with key resistance now at the yearly high-week close at 101.95.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Bottom line: The US Dollar price reversal is attempting to pullback below uptrend resistance and while the broader focus remains higher, the risk is mounting for a larger correction IF price closes the week at these levels. Form a trading standpoint, look for topside exhaustion while below 100 with a break sub-97.87 needed to keep the immediate short-bias in play. Keep in mind we’re heading into the close of the month/quarter early next week – stay nimble into the April open with Coronavirus headlines likely to continue driving broader market sentiment.

Key US Data Releases

US Economic Calendar- USD Event Risk - Data Releases

Economic Calendar - latest economic developments and upcoming event risk.

Previous Weekly Technical Charts

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

Follow Michael on Twitter @MBForex

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