On Friday, the DXY rebounded strongly from the 102 support level to trade up toward the 103.50 resistance level which coincides with the 50% Fibonacci retracement level from the longer term move and the 78.6% Fibonacci retracement from the week's downward move.
This retracement higher was not driven by a news release and is likely a technical retracement. The potential for choppy price action was highlighted during the live stream on Friday afternoon (check the comments for today's live stream)
With no news for the USD today, and the price of the DXY at the 103 price level (23.6% fib level from the retracement up).
Look for the price to break below 103 to signal that the DXY could continue with the downtrend to trade lower toward the 102 support level again. However, watch out for a possible hesitation level at the 102.60 price area.
This retracement higher was not driven by a news release and is likely a technical retracement. The potential for choppy price action was highlighted during the live stream on Friday afternoon (check the comments for today's live stream)
With no news for the USD today, and the price of the DXY at the 103 price level (23.6% fib level from the retracement up).
Look for the price to break below 103 to signal that the DXY could continue with the downtrend to trade lower toward the 102 support level again. However, watch out for a possible hesitation level at the 102.60 price area.
