US Dollar Index Price Analysis: Corrective decline temporary only

DXY gives away part of the recent gains, back near 96.70.
Further upside is seen testing the 97.00 yardstick.

Pablo Piovano FXStreet

DXY corrects lower after hitting new cycle peaks in the area just below the 97.00 yardstick on Wednesday.

The continuation of the uptrend looks the most likely scenario despite the ongoing and temporary knee-jerk. That said, the round level at 97.00 now emerges as the immediate target for dollar bulls ahead of 97.80 (June 30 2020).

In the meantime, while above the 2-month support line (off September’s low) just below 94.00, extra gains in DXY remain well on the table. The broader constructive stance remains underpinned by the 200-day SMA at 92.38.

DXY daily chart

Dollar Index Spot

Overview
Today last price	96.71
Today Daily Change	15
Today Daily Change %	-0.14
Today daily open	96.85

Trends
Daily SMA20	94.98
Daily SMA50	94.27
Daily SMA100	93.45
Daily SMA200	92.36

Levels
Previous Daily High	96.94
Previous Daily Low	96.43
Previous Weekly High	96.25
Previous Weekly Low	94.97
Previous Monthly High	94.56
Previous Monthly Low	93.28
Daily Fibonacci 38.2%	96.75
Daily Fibonacci 61.8%	96.63
Daily Pivot Point S1	96.54
Daily Pivot Point S2	96.23
Daily Pivot Point S3	96.03
Daily Pivot Point R1	97.05
Daily Pivot Point R2	97.25
Daily Pivot Point R3	97.56

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD stays defensive below 1.1900 as USD recovers

EUR/USD trades in negative territory for the third consecutive day, below 1.1900 in the European session on Thursday. A modest rebound in the US Dollar is weighing on the pair, despite an upbeat market mood. Traders keep an eye on the US weekly Initial Jobless Claims data for further trading impetus.

GBP/USD holds above 1.3600 after UK data dump

\GBP/USD moves little while holding above 1.3600 in the European session on Thursday, following the release of the UK Q4 preliminary GDP, which showed a 0.1% growth against a 0.2% increase expected. The UK industrial sector activity deteriorated in Decembert, keeping the downward pressure intact on the Pound Sterling.

Gold sticks to modest intraday losses as reduced March Fed rate cut bets underpin USD

Gold languishes near the lower end of its daily range heading into the European session on Thursday. The precious metal, however, lacks follow-through selling amid mixed cues and currently trades above the $5,050 level, well within striking distance of a nearly two-week low touched the previous day.

Cardano eyes short-term rebound as derivatives sentiment improves

Cardano (ADA) is trading at $0.257 at the time of writing on Thursday, after slipping more than 4% so far this week. Derivatives sentiment improves as ADA’s funding rates turn positive alongside rising long bets among traders.

The market trades the path not the past

The payroll number did not just beat. It reset the tone. 130,000 vs. 65,000 expected, with a 35,000 whisper. 79 of 80 economists leaning the wrong way. Unemployment and underemployment are edging lower. For all the statistical fog around birth-death adjustments and seasonal quirks, the core message was unmistakable. The labour market is not cracking.

Sonic Labs’ vertical integration fuels recovery in S token

Sonic, previously Fantom (FTM), is extending its recovery trade at $0.048 at the time of writing, after rebounding by over 12% the previous day. The recovery thesis’ strengths lie in the optimism surrounding Sonic Labs’ Wednesday announcement to shift to a vertically integrated model, aimed at boosting S token utility.