The Dollar index is trading inside a triangle pattern. Since the FOMC meeting will take place today, we should expect some volatility in the forex market, and the dollar could get a clear direction today for its next move.
Support at 95.80 was held. Price however remains below the 4-hour Kumo (cloud). Important resistance is at 98.50. Stochastic is oversold. We can see whether a breakout or breakdown today. Watch 95.20 and 98.50 closely today.
On the weekly chart, we continue to see price trapped inside the trading range, but it is still above the Kumo (cloud). Tenkan- and kijun-sen remain neutral moving sideways with no clear slope. There are more chances that the Dollar index will break to the upside as support from below is very strong.
