The Dollar index has broken above the trend line resistance and is now back testing it. Price remains above the 4 hour Ichimoku cloud and this is a bullish sign. If the price breaks back below the broken resistance trend line and below the cloud, we will have a false break out and change in short-term trend back to bearish, putting the 89-88.30 support area in danger.
On a weekly basis, the price action shows us that buyers keep supporting the Dollar in any pull back towards 90. The price remains above the weekly tankan-sen. As long as we are above it we have chances of challenging the weekly kijun-sen (yellow line indicator) at 91.70.
The material has been provided by InstaForex Company - www.instaforex.com