Back
22 Nov 2013
DXY appears to technicians to just be getting started on upside – 1st target 83.45
FXstreet.com (Barcelona) - The DXY – perhaps contrary FOMC desires – appears to be on the rise according to technicians. Rates higher and DXY following does not correspond with the idea of neverending QE – something’s gotta give.
DXY getting a dual boost from US data and a very weak Yen
If Bernanke and Yellen were to get their stated wishes, interest rates and the DXY would remain subdued for the foreseeable future. All the evidence over the last several days appears to be indicative or Ben and Janet NOT getting their way. Plenty can change in an instant, though, especially with tensions in DC on the rise once again.
Friday, there is no data due out of the US, but traders will be monitoring the Bank of Japan’s Monthly Economic survey as well as a string of important data out of Germany later on in the session.
Technical outlook for the DXY
Technicians are saying the DXY may have just begun the next big move higher this week. They have as an upside target of 83.45 with additional Fibonacci resistance at 83.94 above that. Support for the DXY comes in at this week’s low of 80.53. A break below that level would negate the bullish case and open up downside to the 10/3 low of 79.63.
DXY getting a dual boost from US data and a very weak Yen
If Bernanke and Yellen were to get their stated wishes, interest rates and the DXY would remain subdued for the foreseeable future. All the evidence over the last several days appears to be indicative or Ben and Janet NOT getting their way. Plenty can change in an instant, though, especially with tensions in DC on the rise once again.
Friday, there is no data due out of the US, but traders will be monitoring the Bank of Japan’s Monthly Economic survey as well as a string of important data out of Germany later on in the session.
Technical outlook for the DXY
Technicians are saying the DXY may have just begun the next big move higher this week. They have as an upside target of 83.45 with additional Fibonacci resistance at 83.94 above that. Support for the DXY comes in at this week’s low of 80.53. A break below that level would negate the bullish case and open up downside to the 10/3 low of 79.63.