US Dollar Index Turns Negative


The US Dollar index has turned negative. It has reverted the initial positive momentum and is now gyrating around the 95.20 region.

1 October, GKFX – The US dollar’s share of global central bank reserves fell to the lowest level since 2013 while holdings of the Chinese yuan rose for a fourth consecutive quarter, International Monetary Fund (IMF) data showed Friday.

US Dollar Index Turns Negative

The index is now struggling for direction after climbing beyond the 95.30 level earlier in the day. Despite the correction lower, DXY manages well to keep business above the 95.00 milestone for the time being.

The greenback is attempting to extend the bid tone into this week, always on the back of persistent concerns around the Italian fiscal sector and the offered bias in the risk-associated complex.

In the US data space, the always-relevant ISM Manufacturing for the month of September is next on tap ahead of the speech by Boston Fed E.Rosengren (2019 voter, centrist).

US Dollar Index relevant levels

As of writing the index is losing 0.02% at 95.16 and a breach of 93.81 (low Sep.21) would aim for 93.71 (monthly low Jul.9) and then 93.19 (monthly low Jun.14). On the other hand, the next hurdle emerges at 95.37 (high Sep.28) seconded by 95.74 (monthly high Sep.4) and finally 96.04 (50% Fibo of the 2017-2018 drop).

Disclaimer

This article was written 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.

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