The US dollar index held support yesterday and has staged an upward move towards recent highs. The trend is bullish and the weak pullback confirms how strong the bullish trend is. New highs before the year end are on the cards.
Blue horizontal line – support
The US dollar index is trading above the Ichimoku cloud on the 4-hour chart and it has also broken above the kijun-sen. It means that we should expect new highs above 97.90 soon. Support is critical at 96.60. If it is broken, we should expect a push lower towards 95.50.
Red line – weekly resistance
Green line – weekly support
The weekly candle has once again been broken above the weekly resistance. We must be patient and see where this week’s candle closes. The chances are in favor of the bullish scenario and the continuation of this upward move over the coming weeks to new highs. Weekly support is at 95.
The material has been provided by InstaForex Company – www.instaforex.com