Chart USD Index DXY Update: Leaning lower
The anticipated break below 106.50 has reached 106.12
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 107.35 | ** | 3 Oct 2023 (y) high | S1 | 106.00 | * | break level | |
| R3 | 107.15 | ** | 50% ret of 2022-2023 fall | S2 | 105.50 | * | congestion | |
| R2 | 107.06 | * | 14 Nov YTD high | S3 | 105.00 | ** | congestion | |
| R1 | 106.50 | ** | congestion | S4 | 104.21 | * | 29 Oct (m) high |
Asterisk denotes strength of level
13:30 GMT - The anticipated break below 106.50 has reached 106.12, where unwinding oversold intraday studies are prompting short-term reactions. Daily readings are coming under pressure, and overbought weekly stochastics are turning down, highlighting a deterioration in sentiment and room for further losses in the coming sessions. A close below support at the 106.00 break level will add weight to sentiment and extend November losses towards 105.50. However, the rising weekly Tension Indicator could limit any initial tests in fresh consolidation. Meanwhile, a close back above 106.50, if seen, will help to stabilise price action and prompt renewed consolidation beneath strong resistance at the 107.06 current year high of 14 November and the 107.15/35 area.