The Dollar index rejection at 98.20 has pushed price towards 97 support and broken it. Next target was 96 and this level has been reached. Short-term trend is bearish and I believe there more chances of a deeper correction towards 95 than a bullish reversal now.
Red line – resistance
Green line – support trend line
The Dollar index was rejected at the resistance area and has broken below the trend line support. The trend is bearish as price is below the Ichimoku cloud and below the upward sloping trend line. We could see a bounce as a back test of the broken trend line. Resistance is found at 96.60 and at 97.10. Support is at 95.40.
Red line – weekly resistance
Green line – weekly support
I believe the Dollar index is heading towards the weekly green trend line support near 95-95.50 area. Intermediate support is found by the tenkan- and kijun-sen in the 95.90-96.40 area. That is why we see a bounce from this area. The longer-term trend is still neutral as price remains inside the triangle.
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