The Dollar Index (DX) is approaching intermediate resistance of 82.30; consistently trading above 82.50 would further strengthen the it to 83.80 ranges. Correction may be expected only on weekly close below 81.20 ranges.
Meanwhile, the Dow Industrials (DJIA) is reaching all time high of 14100-14300 made during October 2007 which may act as immediate barrier. Only trading consistently above 14300 results in new rally. Historic correlation between DX Vs DJIA suggests the long-term trend is still dollar bearish till the Dollar Index is not closing above 84.50 on monthly basis.
Disclaimer: This report contains the views of GFM Research Private Limited. This report should not be construed as investment/trading advice. Due care is taken when gathering the data/information and the data sources are believed to be reliable, though GFM Research Private Limited nor its Group Companies guarantee for the same. Trading/investing in financial markets may result in financial and/or emotional stress, a trader/investor is advised to weigh pros and cons of trading/investing. Further disclaimer will be produced on request.