The Dollar index has been continuing its upward move since the Monday gap down that held above support at 96.20. Now, the Dollar index has reached the resistance that bulls need to break in order for the upward move to resume. Important resistance is closed and bulls should be very cautious as we could see a rejection from the current levels.
Red line = support
Green line = resistance
The Dollar index has reached the green line resistance and the Ichimoku cloud. It seems that the short-term upward move has finished and the resistance remains firm and not broken. Bulls will need to break above 98.2-98.50 in order for 96 to be considered an intermediate-term low.
Orange line= bullish channel
The Dollar index remains inside the upward sloping orange channel and the price has moved back above the tenkan-sen indicator. Important to see how this week closes as we are still in the middle of it. Bulls continue to control the longer-term trend.
The material has been provided by InstaForex Company - www.instaforex.com
