Technical outlook and chart setups:
The US Dollar Index might have resumed its last impulse rally towards the 102.00 and 104.00 levels last week, but a push through the 97.50 levels would be extremely encouraging for the bullish sentiment. At the moment, the rally is stalling just ahead of the 98.50 major resistance. The index needs to retrace towards at least the 95.00 levels, Fibonacci 0.618 support, and bounce back to confirm that it is extending further towards the 102.00 levels. It is recommended to remain flat for now and look for a dip towards the 95.00 levels. Immediate support is seen at the 96.00 levels, followed by 95.00 and lower, while resistance is seen at the 98.40/50 levels and higher.
Trading recommendations:
Remain flat for now and look for a bullish reaction around the 95.00 levels.
Good luck!
