DXY: Dollar Index: testing critical support at 97.43
DXY: Dollar Index has come back down to retest the recent lows at 97.43 - support extends down to 97.33 - so some kind of a fight should be expected in this range. The pattern is bearish, still (so only a speccy buy for contrarians with a stop just below 97.30) but be aware that a fall below 97.30 will tip DXY into full-on bearish territory again, signalling the next phase of dollar weakness back to 95.93, then, once this fails, to 95.02 (about another 2.5% - same as the last decline). Minor support at 96.90 could trigger a weak rally attempt back up to 97.3 during the early stages of this decline. London's waiting to see if NY steps in here to defend ...if it doesn't ride to the rescue around the open it will show that right now the Dollar hasn't got a friend left in the world...it should start to fall away as quickly as it did on the last decline at that point (barring possibility of a minor bounce at 96.90, as above). Go long Euro on the other side if/when this trade gets triggered (see Euro comment)
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