Despite the bearish divergence signs and the resistance at the 61.8% Fibonacci retracement, the Dollar index managed to fight the worse-than-expected NFP figures announced on Friday and pushed higher towards 101.50 where the next resistance is found.
Price is trading above the Ichimoku cloud and both the tenkan- and kijun-sen indicators. Trend is bullish. Oscillators are overbought. Resistance is now at 101.50 where the 78.6% Fibonacci retracement is found. Support is at 100.90.
Black line -support
Green line - long-term support trend line
On the weekly chart, price is testing important weekly trend line resistance at 101.20-101.50 area. I expect this trend line is not to be broken and price to get rejected this or next week from the 101.50 level. I will focus on the bearish side of the trade as long as price is below the blue trend line and especially below 102.30.
