The Dollar index remains in a bullish trend as price remains above the 4-hour Kumo. Price is making higher highs and higher lows. Price reached the 38% Fibonacci retracement resistance and got rejected.
Blue line – support
Black line – resistance
The Dollar index broke above the black resistance but also got rejected at the Fibo resistance and came back down. If price makes a higher low and stays above the blue trend line support and the Ichimoku cloud, we could see another push higher for the index.
Blue line – resistance
On a daily basis, the Dollar index remains in a bearish trend. Price reached the Ichimoku cloud resistance and got rejected. Support is at 90 and next at 89.60. As long as price is below the Kumo bears will remain in control of the trend. A new higher high for the index will be a bullish sign and will increase the chances of a break above the Daily cloud.
The material has been provided by InstaForex Company – www.instaforex.com