Chart USD Index DXY Update: Prices remain under pressure
Cautious trade around 106.00 has given way to anticipated losses
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 108.00 | break level | S1 | 105.20 | ** | 50% ret of Sep-Jan rally | ||
| R3 | 107.50 | * | congestion | S2 | 105.00 | * | figure | |
| R2 | 107.00 | ** | break level | S3 | 104.00 | ** | 61.8% ret of Sep-Jan rally | |
| R1 | 106.00 | ** | congestion | S4 | 103.37 | ** | 5 Nov (m) low |
Asterisk denotes strength of level
11:00 GMT - Cautious trade around 106.00 has given way to anticipated losses, as intraday studies track lower, with prices currently pressuring support within 105.00 and the 105.20 Fibonacci retracement. Daily readings are under pressure and broader weekly charts are bearish, highlighting room for continuation of January losses. A break below 105.00/20 will add weight to already negative price action and open up the 104.00 Fibonacci retracement. Already oversold weekly stochastics could limit any initial tests in consolidation. Meanwhile, resistance is lowered to congestion around 106.00. An unexpected close above here would turn sentiment neutral and prompt consolidation beneath 107.00.