The Dollar index escaped from its short-term bearish channel but was not able to break above the short-term resistance levels.That signals that a new upward move towards new highs has started . Therefore, bulls need to be very cautious, especially if short-term support at 97 fails to hold.
Green line = support
The Dollar index is trying to move away from its recent lows at 97. The price is around 98 now and we are above the short-term green trend-line support. We have serious cloud resistance ahead. If the Dollar index manages to break above 98.80, the short-term bullish trend will get a boost.
Orange lines= bullish channel
The weekly chart above remains bullish. The price is above the tenkan-sen (red line) and still inside the upward sloping channel. We are most probably inside a sideways consolidation. The longer-term trend remains bullish as long as the price is above 96. A push above 99.30 on a weekly basis will be a very bullish signal.
