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Talking Points:

  • US Dollar Technical Strategy: Holding Long via Mirror Trader Basket **
  • Support: 12076, 12052, 12028
  • Resistance:12105, 12153, 12201

The Dow Jones FXCM US Dollar Index moved upward as expected after completing a Triangle chart formation. A daily close above the 76.4% Fibonacci expansion at 12105 exposes the 12149-53 area (March 13 high, 100% level). Alternatively, a turn below the 61.8% Fib at 12076 opens the door for a challenge of the 50% expansion at 12052.

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

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US Dollar Technical Analysis: 12-Year High in the Crosshairs

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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