US Dollar Index Technical Analysis: Rate differential remains main driver
The US Dollar Index (DXY) might be facing some selling pressure despite the current tensions escalating in the Middle East. This sounds contradictory but makes sense, seeing that bond prices are jumping higher, pushing yields lower and both the Japanese Yen and the Swiss Franc outpacing the Greenback in terms of inflows in the race to safe havens. This paints a very mixed picture, and with markets already having priced in the events from this morning, the US Dollar could be set to ease a touch, with the DXY possibly briefly sliding back below 106.00 by the close on Friday.
On the upside, the fresh Tuesday’s high at 106.52 is the level to beat. Further up and above the 107.00 round level, the DXY Index could meet resistance at 107.35, the October 3 high.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.