USDX has been trading between 98.20 and 100.95 since the end of March. Price has stopped the decline at major Fibonacci support, bounced and then stopped the rise at another major Fibonacci support. There is a lot of indecisiveness.
Red rectangle - resistance
Orange rectangle - support
The Dollar index touched again the orange rectangle support area and bounces. Resistance remains around 100-101 and support at 98-99. Buying near support and selling near resistance is the best choice right now and if price makes a break out above or below the crucial levels, then we reverse our positions. A less risky approach would be to wait patiently for the break out before risking any money. Price could be forming a triangle pattern. We will have a clearer view next week if trading range narrows more.
