Will the 96-point US dollar index support be broken?
On a daily chart, the four-month high of the US Dollar rally, which started around the 89-rand rate, stopped after a record high of 96.82. The US dollar encountered sales pressures after registering this peak, which saw a return to the downside of the currency pair at a price of 93.37 and the entry of the market into a neutral phase. On October 31, market ups were limited due to channel ceilings and resistance ranges of 97.96 to 82. As a result, the dollar index returned to the 96-rand rate.
Currently, the Dollar Index is for the fourth consecutive day with a Rand rate of 96 units. If the sales pressures increase and the 96th breaks down with 95.55 support, then one can see the market move up to one and a half month ascending channel. A definitive failure of the channel floor marks an indication of a new downtrend to the bottom of the fluctuating range of 93.37 units.
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In contrast, if the US Dollar Index is supported by the 95-96-95 range, it could return to the mid-range of 96.50 and the resistance range. To continue the ascending moves, the range 97-96.82 should be broken down definitely.