Published: 2024-09-23T13:05:54.000Z
Chart USD Index DXY Update: Choppy trade - potential for a minor test higher
Senior Technical Strategist
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Cautious trade has given way to a test higher
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 102.50 | congestion | S1 | 100.22 | ** | 18 Sep YTD low | ||
R3 | 101.97/00 | ** | 3 Sep high; congestion | S2 | 100.00 | ** | congestion | |
R2 | 101.50 | break level | S3 | 99.58 | ** | July 2023 (y) low | ||
R1 | 101.00 | ** | congestion | S4 | 99.00 | ** | 61.8% ret of 2021-2022 rally |
Asterisk denotes strength of level
13:50 BST - Cautious trade has given way to a test higher, with the break above congestion resistance at 101.00 meeting selling interest around 101.23 before settling lower into consolidation around 101.00. Negative daily stochastics are flattening and the daily Tension Indicator is turning up, suggesting room for a fresh test above 101.00. But mixed/negative weekly charts are expected to limit scope in renewed selling interest towards 101.50. Following cautious trade, fresh losses are looked for. A later break below the 100.22 current year low of 18 September will add weight to sentiment and extend October 2023 losses below congestion support at 100.00 towards critical multi-month support at the 99.58 year low of July 2023.