Dollar Index eyes deeper pullback as equities push higher

Gregor Horvat Wavetraders

Good morning everyone. It’s already Friday, and so far it looks like we are seeing some risk on flows with the SP500 and other markets moving slightly higher while US yields are pulling back a bit. Looking at the dollar, however, we still seem to be trapped within a range and are not seeing any major reversal lower yet, but there is still a chance that we could see a deeper pullback in an A B C decline, especially if stocks continue to push higher. For that reason, the correction on the Dollar Index may still not be finished and could extend lower towards the important support zone around 98.66 and 98.30 that we have been tracking since yesterday.

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Author

Gregor Horvat

Wavetraders

Experience Grega is based in Slovenia and has been in the Forex market since 2003.

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