Dollar Index Analysis – Outlook For 1st March 2013
- The US Dollar index has seen a move back to the recent range resistance highs today (28th Feb), as the USDX pared initial losses, and has rallied to the 82.00 area – a key Fibonacci level.
- The 61.8% Fibonacci retrace of 84.10 – 78.60 marks the recent highs and is a technical point of interest going forward.
- US labor market data, released today revealed that initial claims dropped to 344K, coming in ahead of market expectations.
- Gold, crude oil and the euro are all trading at a loss on the day, on a broad based dollar strength scenario.
- The dollar index is currently trading around a 0.35% daily gain at 81.94.
- Any move to the downside over the coming trading sessions would need to contend with prior resistance around 81.45, which held as support earlier today.
- An extended USDX downside move would have the 80.60 area previous resistance area as a technical focus, as potential support.
Dollar Index Technical Analysis, Nick Simpson, Forex-FX-4X.com