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
  • CTV projects Trudeau wins his third term as Canada's Prime Minister - BBG
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here:
  • US House Speaker Pelosi says top-line spending number may change but hopes for $3.5 trillion in spending bill - BBG
  • RBA Minutes: - Board committed to providing high level of monetary support - Q3 GDP expected to decline materially - Central scenario is rates on hold until 2024 - BBG $AUDUSD
  • Heads Up:🇦🇺 RBA Meeting Minutes due at 01:30 GMT (15min)
  • New Zealand reports 14 new local Covid cases - BBG
  • I had a chance to talk with @tastytradeRyan and @victorJ0NES about Evergrande and its impact on US markets — always great talking with these two guys on Mondays.
  • RT @cheddar: Stocks dropped the most since May on Monday, sending shockwaves through Wall Street. @CVecchioFX explains the global impact of…
  • The Spinning Top candlestick pattern forms part of the vast Japanese candlestick repertoire with its own distinct features. Gain a better understanding of the spinning top candlestick here:
  • There are three major forex trading sessions which comprise the 24-hour market: the London session, the US session and the Asian session. Learn about the characteristics of each session here:
US Dollar Technical Forecast: DXY Outlook in Limbo

US Dollar Technical Forecast: DXY Outlook in Limbo

Paul Robinson, Strategist

USD Technical Outlook

  • DXY pullback deepening and bringing to light a vulnerable trend
  • Trend-line support is being put to the test

US Dollar Technical Outlook: DXY Outlook in Limbo

The US Dollar Index (DXY) is still pulling back following a new yearly high reached in the middle of the month. But is this just a pullback or the beginning of a broader decline? It is hard to say yet at this juncture.

The trend since the May low has certainly been wobbly, and at current levels the DXY is no better off than it was two months ago, but that doesn’t mean we won’t see higher levels. There is a trend-line test taking shape right now, but the trend-line isn’t the most robust given its limited connecting points.

If it breaks, it won’t be a significant development. However, the deeper the decline continues to unfold the more likely it is that we are seeing a larger reversal unfold and not a corrective move for the USD that will lead to new yearly highs.

Price action leaves the outlook in limbo, with little to lean on with conviction. For now, it appears prudent to tread with caution until we have more price action to work with. If we see a sharp turn higher soon, that could do the trick for putting the ball back in the buyers’ court.

On the flip-side, a continued slide may set up a countertrend move for would-be sellers to step into to take advantage of further weakness.

US Dollar Index (DXY) Daily Chart

DXY daily chart

DXY Chart by TradingView

Resources for Forex Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

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