Weekly Technical Outlook: USD Down-Trend in Focus Ahead of March Open
- Key technical setups we’re tracking into the close of the month
- Check out our 2018 projections in our Free DailyFX Trading Forecasts
- Live Weekly Trading Webinars on Mondays on DailyFX at 13:30 GMT (8:30ET)
Dollar Index (DXY) Analog Calls for Further Losses
We’ve been tracking a price analog in the dollar index from the 1994 peak and heading into the close of the month the comparison suggests the risk remains for one more low in the greenback. We’ll also be keeping a close eye on Treasury yields after the 10-year held below key technical resistance last week at 2.90.
Key Levels in Focus
DXY – Initial resistance at 90.28/33. Key support still 88.27with bearish invalidation at 91.33
USD/CAD – Focus remains on possible exhaustion near 1.2723 / 1.2776 early this week.
USD/JPY – Initial resistance at 107.49 with bearish invalidation at 107.84. Near-term support still 106.38.
AUD/NZD – Near-term risk is for a rebound while above 1.07 but broader outlook remains weighted to the downside sub-1.0830
For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy
Keep in mind, newly minted Federal Reserve Chairman Jerome Powell is slated for commentary tomorrow with Eurozone CPI and US / Canada GDP figures on tap later this week. Updated technical setups discussed on DXY, USDCAD, USDJPY, AUDNZD, AUDJPY, AUDUSD, GBPNZD, CADJPY & GBPJPY.
Key Data Releases
Other Setups in Play:
- USD/CAD Surges Into Resistance- Rally Vulnerable Ahead of Canada CPI
- AUD/NZD Price Tumbles to Five-Month Lows; Relief in Sight?
- USD/JPY Price Analysis: Rebound to Offer Opportunity
- XRP/USD: Ripple Prices Double-Up as February Losses Evaporate
Why does the average trader lose? Avoid these Mistakes in your trading
---Written by Michael Boutros, Currency Strategist with DailyFX
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.