The US Dollar Index reached the cloud and 61.8% retracement support and bounced yesterday. The price continued moving upwards and the short-term trend remains bullish. Critical support is at 94.60 and at 95 for the medium- and short-term trend.
Blue line – trend line support
The US Dollar Index has made an impulsive move upwards and a correction that back tested the cloud support. The price is moving higher. The trend is bullish as the price remains above the cloud. Critical support is at 94.60 in the short term.
Blue line – trend line resistance
The US Dollar Index is above the tenkan- and kijun-sen again. However, the price must break above the blue trend-line resistance to let bulls regain full control of the trend, . S,o resistance is found at 96.70. If support at 94.60 fails, we should expect bears to regain control and push the price towards the next big support at 93.10. If that is broken as well, we should expect a push towards at least 92.50 and 90.
The material has been provided by InstaForex Company – www.instaforex.com