Chart USD Index DXY Update: Choppy trade under pressure
The fresh break below 104.00 has bounced smartly from 103.70~
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 104.80 | ** | 30 Jul (m) high | S1 | 103.40 | break level | ||
| R3 | 104.70 | ** | 76.4% ret of Jun-Sep fall | S2 | 103.00 | ** | congestion | |
| R2 | 104.25 | intraday break level | S3 | 102.50 | ** | congestion | ||
| R1 | 104.00 | * | congestion | S4 | 102.50 | ** | congestion |
Asterisk denotes strength of level
13:20 GMT - The fresh break below 104.00 has bounced smartly from 103.70~, as intraday studies turn higher, with prices currently pressuring congestion resistance at 104.00. A test above here cannot be ruled out, but negative daily readings should limit scope in fresh selling interest towards the 104.25 break level. In the coming sessions, choppy trade is expected to give way to fresh losses, with focus to turn to support at the 103.40 break level. However, the rising weekly Tension Indicator is expected to limit any deeper losses in fresh buying interest towards congestion around 103.00. Meanwhile, a close above strong resistance at the 104.70 Fibonacci retracement and the 104.80 monthly high of 30 July is needed to turn sentiment positive and confirm continuation of September gains, as focus then turns to resistance at the 105.00 break level, ahead of 105.50.