Ichimoku cloud indicator analysis of USDX for April 10, 2018

The Dollar index is challenging the 4-hour Kumo (cloud) support. So far it shows that it wants to respect support and bounce for another leg higher. A break below the Kumo will be very bearish for the medium-term trend.

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Blue lines - bearish channel

Daily trend is bearish as price is now again below the Daily Kumo. Resistance is at 89.90. Bulls need to see price close above it while bears want a rejection at the current levels. 90.30-90.40 is key for the short-term bullish scenario. Bulls must break it for a move towards 91.70. On the other hand, bears want to see daily closes below 89.40 to confirm bearish trend and increase the chances for new 2018 lows.

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