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Talking Points:

  • US Dollar Technical Strategy: Holding Long via Mirror Trader Basket **
  • Support: 11648, 11577, 11489
  • Resistance:11719, 11807, 11950

The Dow Jones FXCM US Dollar Index continued to push higher for a fourth consecutive day, with prices setting yet another five-year high. Near-term resistance is at 11719, the 61.8% Fibonacci expansion, with a break above that on a daily closing basis exposing the 76.4% level at 11807. Alternatively, a turn below the 50% Fib at 11648 clears the way for a test of the 38.2% expansion at 11577.

We remain broadly bullish on the US Dollar against its leading counterparts in line with ourlong-term fundamental outlook. As such, we remain long via theMirror Trader US Dollar currency basket.

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US Dollar Technical Analysis: Another 5-Year High Established

Daily Chart – Created Using FXCM Marketscope

** The Dow Jones FXCM US Dollar Index and the Mirror Trader USD basket are not the same product.

— Written by Ilya Spivak, Currency Strategist for DailyFX.com

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