Technical outlook:
US Dollar Index end of the day chart has been presented here, which closed around 93.54 levels yesterday. The index has managed to push through 93.89 highs today before pulling back sharply. It is seen to be trading close to 93.50 levels at this point in writing and is expected to produce a meaningful corrective drop lower towards 92.50 levels, in the next few trading sessions. The overall boundary which is being worked upon is between 91.75 and 93.89 respectively. The fibonacci 0.618 retracement of above rally is seen to be passing through 92.50/60 (not labelled on the chart today). If prices drop through 92.50/60 levels high probability remains for a bullish bounce. Immediate resistance is seen towards 94.00, while support is at 91.75 respectively.
Trading plan:
Remain long with stop below 91.75 and target @ 98.00
Good luck!
