Market Cap:
$140.2B
BTC Dominance:
50.28%
btc:
$4008.26
eth:
$137.82
xrp:
$0.31
Advertise
Forex

US Dollar Index regains 97.00 ahead of CPI

GKFX | Mar. 12, 2019
US Dollar Index regains 97.00 ahead of CPI

The US Dollar Index (DXY), which gauges the greenback vs. a basket of its main rivals, is recovering some ground lost following the negative start of the week.

March 12, GKFX – After bottoming out in the vicinity of 96.90 at the beginning of the week, the index has managed to regain some composure and retake the critical barrier at 97.00 the figure and above.

US Dollar Index drops and tests sub-97.00 levels

The correction lower from last week’s fresh 2019 tops in the 97.70 region has been in tandem with a recovery in the sentiment surrounding the risk-associated space, where hopes of a Brexit deal have been also collaborating with the upbeat mood.

Moving forward, inflation figures gauges by the CPI for the month of February are next of relevance in the docket, seconded by the NFIB index and the speech by FOMC’s L.Brainard (permanent voter, dovish).

What to look for around USD

The optimism around a positive outcome in the US-China trade front appears somewhat mitigated as of late, while there is no further news on the supposed meeting between Trump and Xi later in the month.

Despite Payrolls were a fiasco when comes to job creation during last month, the lower jobless rate and auspicious prints from wage inflation could support the buck on occasional drops somehow. Investors, in the meantime, continue to scrutinize the probable change in the Fed’s rate path as well as any re-assessment of the ongoing QT.

US Dollar Index technical analysis

At the moment, the pair is gaining 0.14% at 97.09 and a break above at 97.71 (2019 high Mar.7) would open the door to 97.87 (monthly high Jun.20 2017) and finally 99.89 (monthly high May 11 2017). On the flip side, the next support lines up at 96.92 (low Mar.11) seconded by 96.33 (55-day SMA) and then 95.82 (low Feb.28).

Disclaimer

This article was provided by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you, then this should be solely at your discretion, and GKFX will not be held accountable in any way.

Disclaimer: The views and opinions expressed in this article are solely those of the author and do not reflect the official policy or position of AtoZ Markets.com, nor should they be attributed to AtoZMarkets.