Market Commentary
The US Dollar is trading flat against most of the FX majors; the Euro and the Aussie are trading near their historic resistances with 1.3820 ranges and 0.9100 ranges acting as supply zone respectively. The Dollar Index (DX) is still trending sideways both in the short term and the medium term with the short term trend range bound between 79.80 and 81.50 and the medium term trend range bound between 78.70 and 82.20 ranges.
The benchmark equity index of Dow Jones Industrial Average (DJIA) is trading near important resistance zone of 16200-16260 ranges; further rally my reinitiate only above 16300. Historic correlation between DX Vs DJIA suggests Dollar weakness till DX is not closing above 84.50 ranges on weekly basis though the historic correlation between DX Vs DJIA is have become less significant since past couple of years.
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