US Dollar Index tests support zone around 96.70/80. Look higher
US Dollar Index might have completed a zigzag corrective drop from 97.80 through 96.75 levels. Also note that it remains close to fibonacci 0.618 retracement of the recent rally between 96.39 and 97.80, seen on the chart. Though it has entered the sell zone of the recent trend line support, a bounce back above 97.00 would confirm a potential bottom in place. Immediate support is seen at 96.40 and the structure would remain constructive for bulls until prices stay above that handle. Potential wave counts are as follows: The rally from 95.70 through 97.45 could be Wave 1 and the subsequent drop towards 96.40 could be labelled as Wave 2. Since then, a potential Wave 3 is in progress towards 103.00. Ideally US Dollar Index should stay above 95.70.
Remain ling, stop @ 95.70, target @ 103 and higher.
Risk Disclaimer:
Trading Forex or any CFD products may not be suitable to all investors and they must evaluate their risk appetite. The above article should not be construed as a trading or investment advice as it is solely for education and information purpose only. Trading might incur a loss of capital and hence investors might be required to gain further knowledge regarding the risks involved. Leverage should be used wisely.
Remain ling, stop @ 95.70, target @ 103 and higher.
Risk Disclaimer:
Trading Forex or any CFD products may not be suitable to all investors and they must evaluate their risk appetite. The above article should not be construed as a trading or investment advice as it is solely for education and information purpose only. Trading might incur a loss of capital and hence investors might be required to gain further knowledge regarding the risks involved. Leverage should be used wisely.