Dollar Index Price Analysis: 96.40 looks like a sticky support zone but it could still give way

The dollar index is trading over half a percent lower as the greenback struggles on Wednesday.
The price is close to a decent support level at the moment and it will take some momentum to push through it.

Rajan Dhall, MSTA FX Daily

Dollar Index 4-hour chart

The dollar has struggled across the board on Wednesday and being around 60% weighted to EUR/USD the index is trading lower. The US still continues to struggle to get to grips with the COVID-19 pandemic and the numbers are still rising.

The chart below shows the extent of the fall but the price is stalling at 96.38 and old support zone from 23rd June. If the level does manage to break, the lows on the chart could be the next target. The major support low is holding at 95.71 and is marked by the green horizontal line. Since the price broke the trendline it has been looking pretty bearish and now a couple of lower highs and lower lows have been made the bulls will need some fresh momentum to turn the tide.

The indicators are both looking bearish too. The MACD histogram is red and the signal lines are also under the mid-zone. The Relative Strength Index is also heading to the oversold zone and is in very negative shape at the moment.

Additional levels

Dollar Index Spot

Overview
Today last price	96.45
Today Daily Change	-0.52
Today Daily Change %	-0.54
Today daily open	96.97

Trends
Daily SMA20	97.09
Daily SMA50	98.22
Daily SMA100	98.76
Daily SMA200	98.31

Levels
Previous Daily High	97.16
Previous Daily Low	96.6
Previous Weekly High	97.81
Previous Weekly Low	96.81
Previous Monthly High	98.24
Previous Monthly Low	95.72
Daily Fibonacci 38.2%	96.95
Daily Fibonacci 61.8%	96.81
Daily Pivot Point S1	96.66
Daily Pivot Point S2	96.36
Daily Pivot Point S3	96.11
Daily Pivot Point R1	97.22
Daily Pivot Point R2	97.46
Daily Pivot Point R3	97.77

Author

Rajan Dhall, MSTA

FX Daily

Rajan Dhall is an experienced market analyst, who has been trading professionally since 2007 managing various funds producing exceptional returns.

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