FX.co ★ Technical analysis of USDX for May 25, 2016

The Dollar index remains strong near its highs with no significant pullback or advance yet. I believe a short-term scenario will soon be confirmed and a pullback will be seen towards 94.

Blue lines - bullish channel

The Dollar index remains inside the bullish channel and above the Ichimoku cloud. Price is testing the lower boundary of the channel. Stochastic is diverging. I believe that this is a good time for Dollar bulls to take profits or raise their stops.

The weekly chart remains bullish but a short-term pull back is justified. The longer-term picture remains very promising for Dollar bulls after bouncing off the 38% Fibo. A break above the Kumo will increase the scenario of new highs towards 105-110.