Dollar Index outlook: Bears pause ahead of US inflation data
Dollar Index
The dollar index is moving in a narrow range in early Thursday, as holiday-thinned conditions slow the action and markets await key event for the dollar this week - release of US inflation data (PCE index) on Friday.
Near-term action is holding within narrowing consolidation, shaped in a triangle and awaiting fresh direction signals.
Technical studies are bearish on daily chart (negative momentum / MA’s in full bearish setup) pointing to a likely continuation of larger downtrend after a pause, as current consolidation remains capped by broken Fibo support at 102.19, reverted to solid resistance.
The dollar is also pressured by expectations of Fed rate cuts and expectations for the US central bank’s policy easing by 150 basis points in 2024.
Immediate bearish bias to remain intact under 102.19 Fibo barrier and extended upticks to be capped by falling 10DMA (102.60) with weekly close below 102.19 to add to bearish signals.
Res: 102.19; 102.36; 102.60; 102.97.
Sup: 101.67; 101.37; 101.05; 100.30.
Reprinted from FXStreet，the copyright all reserved by the original author.
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.