Monday, January 30, 2017

The Dollar index keeps its bearish trend

The Dollar index has not been able to stall its fall and breaks below the 100.00 level as shown on the daily chart. It is possible for the index to go and visit the 99.00 level during the next few days where it may stop falling, but the 200 day EMA, blue line, just below the 99.00 level could act as a better support for the instrument. What is worrisome for the Dollar is that if it breaks below the 200 day EMA, it will practically have the road clear all the way towards the 96.00 level. To the upside, the 55 day EMA, purple line, may act as resistance in case the index retraces to the upside, followed by the 101.72 level.


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