Chart USD Index DXY Update: Consolidating - background studies under pressure
Consolidation has given way to a break above 98.00, with prices reaching 98.25 before settling into cautious trade around 98.15
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 100.00 | ** | congestion | S1 | 98.00 | * | congestion | |
| R3 | 99.50 | * | congestion | S2 | 97.63 | ** | 17 Apr (m) low | |
| R2 | 99.00/18 | ** | congestion; 8 Apr high | S3 | 97.50 | ** | congestion; 61.8% ret | |
| R1 | 98.50 | * | congestion | S4 | 97.00 | ** | congestion |
Asterisk denotes strength of level
08:50 BST - Consolidation has given way to a break above 98.00, with prices reaching 98.25 before settling into cautious trade around 98.15. The daily Tension Indicator is flat, highlighting room for further consolidation. But daily stochastics continue to fall and broader weekly charts also under pressure, highlighting room for later fresh losses. A break back below 98.00 will open up the 97.63 monthly low of 17 April. A close beneath here will turn sentiment negative and extend late-March losses below 97.50 towards congestion around 97.00. Meanwhile, resistance is up to congestion around 98.50 and should cap any immediate tests higher.