US Dollar Index – On the daily time frame, the US dollar bears gained ground last night during the US session and fell 1%. The US dollar is currently being supported by the S1 pivot and also the upward slanting line making a small channel which started from the 5th of March.
A double confluence on the pair right now from the support of S1 pivot and upward slanting line might give the bulls a technical reason to stage a rebound back up today.
On the flipside, if 94.50 breaks decisively to the downside, we can expect the 93.5 zone to be tested next.
I am more bullish on the US dollar than any other currencies as the FED have expectations to increase interest rates. I see yesterday’s fall as a short term retrace and I am looking for the US dollar to continue to appreciate on a longer term horizon.
To your success!