Chart USD Index DXY Update: Room for higher
Consolidation around 98.00 has given way to a sharp bounce to 98.70
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 99.80 | ** | 61.8% ret of May-Jul fall | S1 | 98.00 | * | congestion | |
| R3 | 99.15 | ** | 50% ret of May-Jul fall | S2 | 97.00 | * | congestion | |
| R2 | 99.00 | break level | S3 | 96.50 | * | congestion | ||
| R1 | 98.70 | 15 Jul high | S4 | 96.38 | * | 1 Jul YTD low |
Asterisk denotes strength of level
09:00 BST - Consolidation around 98.00 has given way to a sharp bounce to 98.70, where unwinding overbought intraday studies and flat overbought daily stochastics are prompting a pullback to 98.50. The daily Tension Indicator continues to rise and broader weekly charts are also positive, highlighting room for still further gains in the coming sessions. A break above 98.70 will open up resistance at 99.00 and the 99.15 Fibonacci retracement. A break above here, if seen, will further improve sentiment and open up stronger resistance at 99.80-100.00. Meanwhile, support is raised to congestion around 98.00. A close beneath here, if seen, will turn sentiment neutral and give way to consolidation above further congestion around 97.00.