Chart USD Index DXY Update: Cautious trade - studies under pressure
Still little change
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 100.65 | ** | 76.4% ret of May-Jul fall | S1 | 98.00 | * | congestion | |
| R3 | 100.54 | ** | 29 May (w) high | S2 | 97.00 | * | congestion | |
| R2 | 100.00 | ** | congestion | S3 | 96.50 | congestion | ||
| R1 | 99.00 | * | break level | S4 | 96.38 | ** | 1 Jul YTD low |
Asterisk denotes strength of level
09:20 BST - Still little change, as mixed/negative intraday studies keep near-term sentiment cautious and prompt consolidation above congestion support at 98.00. Daily readings are falling and overbought weekly stochastics are also under pressure, highlighting a deterioration in sentiment and room for further losses in the coming sessions. A later break below 98.00 will open up congestion around 97.00. But by-then oversold daily stochastics should limit any initial further break beneath here in consolidation/short-covering above critical support at the 96.38 current year low of 1 July. Meanwhile, resistance remains at 99.00. An unexpected close above here will help to stabilise price action and prompt consolidation beneath congestion around 100.00.