Technical Updates on DXY (Dollar Index)
The general technical overview of DXY is Bullish,
Following the price action and checking through the Moving averages technical tool used on the chart, it reveals that the price just got corrected from the last week surge and using the Fibonacci levels to track-measure the corrective wave, the price bounced back at the 0.382% level and this shows that the bulls are still very active in the market and they are willing to drive the drive the price back to the previous top at 94.50.
That said, the bears are as active as the bulls but they are with lesser power, but if the buyers fail to push the price above the current psychology price level at 94.00 which also happens to be at the 0.236% fib level, the bears might use this psychological zone and turns it to a resistance zone, which might enable them to pull the market downward to probably the previous resistance level at 93.70. there is a possibility of this only of the seller mount up their selling strength and beat the bulls to it, before another rally toward the 94.50.
Lastly, with the US NFP and Average Hourly Earnings news coming up on Friday, this could help the buyers anticipate for more buying opportunity, provided that the actual is hawkish as forecasted.
Disclaimer: This communication is for informational purposes only and should not be viewed as any form of recommendation as to a particular course of action or as investment advice. It is not intended as an offer or solicitation for the purchase or sale of any financial instrument or as an official confirmation of any transaction. This communication has been prepared based upon information, including market prices, data, and other information, believed to be reliable; however, the author does not warrant its completeness or accuracy. Trading CFDs involve risk and can result in loss of capital.
Following the price action and checking through the Moving averages technical tool used on the chart, it reveals that the price just got corrected from the last week surge and using the Fibonacci levels to track-measure the corrective wave, the price bounced back at the 0.382% level and this shows that the bulls are still very active in the market and they are willing to drive the drive the price back to the previous top at 94.50.
That said, the bears are as active as the bulls but they are with lesser power, but if the buyers fail to push the price above the current psychology price level at 94.00 which also happens to be at the 0.236% fib level, the bears might use this psychological zone and turns it to a resistance zone, which might enable them to pull the market downward to probably the previous resistance level at 93.70. there is a possibility of this only of the seller mount up their selling strength and beat the bulls to it, before another rally toward the 94.50.
Lastly, with the US NFP and Average Hourly Earnings news coming up on Friday, this could help the buyers anticipate for more buying opportunity, provided that the actual is hawkish as forecasted.
Disclaimer: This communication is for informational purposes only and should not be viewed as any form of recommendation as to a particular course of action or as investment advice. It is not intended as an offer or solicitation for the purchase or sale of any financial instrument or as an official confirmation of any transaction. This communication has been prepared based upon information, including market prices, data, and other information, believed to be reliable; however, the author does not warrant its completeness or accuracy. Trading CFDs involve risk and can result in loss of capital.
Disclaimer
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