Today the market has opened up with the DXY being fairly strong, opening at 105.674 and currently sits near 106. It is possible for the greenback to continue bullish into the New York session on Monday and perhaps for a few more days this week. Japan Gross Domestic Product QoQ data was released today and was reported as follows: Actual 0.5% Forecast 0.6% Previous 0.0%. The result of this data showed a bearish sentiment for the Japanese yen from an expected point of view. But from a past data economic perspective the data displayed that the yen has a bullish bias from a quarter on quarter point of view, furthermore suggesting that the Jpy yen bearishness and US dollar strength might only be short term.
The DXY daily chart still holds above the 200 day simple moving average suggesting a bullish trend. The current value for the 200 day SMA is 100.099. Recently the greenback fell below the 50 day SMA, but today has risen above the 50 day SMA once again indicating potential continued strength, at least for now. The default MACD has still not formed a bullish signal yet as the 12 period ema still holds below the 26 period ema although this is a second day of a green bullish histogram trend. The price has recently fallen below the bottom band of the bollinger bands suggesting strong sell volatility last week, in which we discussed the 4 hour chart having bullish momentum. Now the daily chart has been continuing that strength today with much of the same process. The weekly chart may not see this same bullish trend though because the bottom band of the BB sits quite far below suggesting the weekly chart to be more bearish. The monthly chart might be pointing to a weaker dollar next year with the DXY median BB price around 96. The euro sank lower on Monday in the Asian and early Europe sessions.
Ilyas Khan Top1 Markets
$USD Currency Index
The DXY daily chart still holds above the 200 day simple moving average suggesting a bullish trend. The current value for the 200 day SMA is 100.099. Recently the greenback fell below the 50 day SMA, but today has risen above the 50 day SMA once again indicating potential continued strength, at least for now. The default MACD has still not formed a bullish signal yet as the 12 period ema still holds below the 26 period ema although this is a second day of a green bullish histogram trend. The price has recently fallen below the bottom band of the bollinger bands suggesting strong sell volatility last week, in which we discussed the 4 hour chart having bullish momentum. Now the daily chart has been continuing that strength today with much of the same process. The weekly chart may not see this same bullish trend though because the bottom band of the BB sits quite far below suggesting the weekly chart to be more bearish. The monthly chart might be pointing to a weaker dollar next year with the DXY median BB price around 96. The euro sank lower on Monday in the Asian and early Europe sessions.
Ilyas Khan Top1 Markets
$USD Currency Index