Technical analysis of Dollar Index for May 21, 2019
May 21, 2019 7:21 pm
The Dollar index just below the previous high made in April at 98.03. Short-term trend remains bullish as price is also approaching a major Fibonacci resistance area that has already been tested twice.
Red rectangle – resistance area
Green rectangle – support area
The Dollar index remains in a bullish trend as long as price is above the green support area. Resistance is found at 98 and breaking above it would open the way for a move towards 100. So far price has broken above a triple top at 97.17 reached the 61.8% Fibonacci retracement and pulled back as a back test. Support was respected and price has bounced once again towards 98. Maybe this time we will see the break of the major Fibonacci resistance. The only warning we get for the bullish scenario are the bearish divergence signs by the RSI on a weekly basis. Price however continues to make higher highs and higher lows.
The material has been provided by InstaForex Company – www.instaforex.com
The Dollar index just below the previous high made in April at 98.03. Short-term trend remains bullish as price is also approaching a major Fibonacci resistance area that has already been tested twice.
Red rectangle – resistance area
Green rectangle – support area
The Dollar index remains in a bullish trend as long as price is above the green support area. Resistance is found at 98 and breaking above it would open the way for a move towards 100. So far price has broken above a triple top at 97.17 reached the 61.8% Fibonacci retracement and pulled back as a back test. Support was respected and price has bounced once again towards 98. Maybe this time we will see the break of the major Fibonacci resistance. The only warning we get for the bullish scenario are the bearish divergence signs by the RSI on a weekly basis. Price however continues to make higher highs and higher lows.
The material has been provided by InstaForex Company – www.instaforex.com
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