Chart USD Index DXY Update: Edging higher in range
The anticipated break below congestion support at 98.00 has proven shallow
| 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
08:40 BST - The anticipated break below congestion support at 98.00 has proven shallow, as intraday studies turn higher, with cautious trade giving way to a fresh push higher to 98.25. Daily readings have also improved, suggesting room for a test of congestion resistance at 98.50. But mixed/negative weekly charts should limit any immediate break above here in renewed consolidation beneath resistance at 99.00. Meanwhile, any immediate tests below 98.00 should give way to consolidation above the 97.63 monthly low of 17 April. A close beneath here, however, will turn sentiment negative and extend late-March losses below 97.50 towards congestion around 97.00.