Dollar Index Price Analysis: The DXY continues to resist moves lower

The dollar index trades 0.12% lower on Friday.
The risk sentiment improved during the US session but the dollar remains mixed.

Rajan Dhall, MSTA FX Daily

Dollar index 4-hour chart

The dollar index is in a clear downtrend looking at the chart below. On Friday, the price has been very stubborn and now it does look like a base formation is building. The orange support level at 96.34 was tested again on Thursday but the price bounced back. Once again the price moved lower in today's (Friday) session but the market caught a bid even before it could reach the zone.

The dollar basket in the medium term is still making lower highs and lower lows. A break of the wave low of 96.23 would be the confirmation that this trend is set to continue lower. If this is the case then the low of on the chart would be under threat.

The indicators are looking bearish but the MACD histogram is green. The main signal lines are still under the zero area indicating that the downtrend is not over just yet. The Relative Strength Index is still under the 50 line and there is space for a move into the oversold area. If the support levels do give way then the indicator could move into oversold zones once again.

Additional levels

Dollar Index Spot

Overview
Today last price	96.65
Today Daily Change	-0.14
Today Daily Change %	-0.14
Today daily open	96.79

Trends
Daily SMA20	97.11
Daily SMA50	98.12
Daily SMA100	98.7
Daily SMA200	98.29

Levels
Previous Daily High	96.82
Previous Daily Low	96.23
Previous Weekly High	97.81
Previous Weekly Low	96.81
Previous Monthly High	98.24
Previous Monthly Low	95.72
Daily Fibonacci 38.2%	96.59
Daily Fibonacci 61.8%	96.46
Daily Pivot Point S1	96.41
Daily Pivot Point S2	96.03
Daily Pivot Point S3	95.83
Daily Pivot Point R1	96.99
Daily Pivot Point R2	97.19
Daily Pivot Point R3	97.57

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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