Thursday, September 22, 2016

Bullish bounce on the Dollar

On the daily chart of the US Dollar Index, we can see that the price has been consolidating in a range, forming what it appears to be a symmetrical triangle. The upper boundary of the consolidation is around the 96.00 to 96.50 zone. To the downside, we can see that the lows of the candles have been higher than the previous ones, but a breakdown of the 95.00 level could take the index to the 94.00 level or the 93.00 level. Since yesterday the Dollar Index has been falling on the comments by the FED regarding interest rates, but once the index go to the 95.00 level, it stalls there and tries to bounce to the upside. For now the 96.00 level could act as its next resistance.


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