The Dollar index is trying to break above the 4-hour cloud. Trend is neutral as price has entered the 4-hour cloud. Medium-term trend remains bearish though. A bounce in the Dollar index is long overdue and we most probably have started a counter trend bounce.
In the 4-hour chart the Dollar index has support at 89.15 and resistance still at 89.60-89.80. Price has started making higher highs and higher lows, but bulls need to break above 89.60-89.80 resistance in order for a larger bounce to be confirmed under way. A rejection at current levels and a break below 89.15 will most certainly push price towards 88-87.50.
