US Dollar analysis

Dollar index: After reaching a low point in early January we see recovery buds, will they continue or is it just preparation for another move down
I recommend you read this post because there are goals for forex pairs and it seems that in the meantime this is the direction – worth watching.

The U.S. Dollar stays very vulnerable and struggled for lower numbers against a basket of major currencies as optimism increased demand for risk assets and by a positive movement toward a coronavirus vaccine

US dollar index (DXY) close to dropped to 30-month low trading at $91.10, which is close to its lowest level since  2018 – at 88.20

In the past  months, most of the currencies have gained significantly against the dollar

We can see som technical  pattern in the chart of the US index (DXY)

dollar index technical analysis
Dollar index analysis

In the dollar index (DXY) , we had a symmetrical triangle, identified with a falling resistance in 2005 and a rising support trend line in 2007. Prices start to move within a tight range before the break-out occurs. The price target is the measured distance of the first high and low of the triangle, projected from the break out of the symmetrical triangle.

We can clearly see that the target of the triangle has been completed = height, which gave the dollar maneuvering the index is rising towards the peak area in 2016

 Now let’s look at the picture right now technically at the moment the dollar index is in an interesting position A short and medium-term shows us a downward trend But there is a strong support point in the 88.20 area that also appeared in 2018. On the other hand, there is the resistance point that is currently in the region of 91.60 + _: only a break-in of the above region will lead to a positive move Another thing worth noting is the Bullish Gartley technical pattern- the target of the pattern is in the 85-86 range, and it quite connects to another point of equilibrium that sits on another equilibrium strip

Dollar index news
Dollar index

This review does not include any document and/or file attached to it as advice or recommendation to buy/sell securities and/or other advice

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