US Dollar at Strong Resistance Ahead of Inflation Data

Published 02/11/2025, 04:53 AM

Markets are a bit slow, with the US dollar still trapped in a range ahead of Powell’s testimony today and the US CPI data tomorrow. For now, we cannot confirm the next clear short-term direction for the US dollar, but I favor the bearish primary outlook as I believe that sooner or later, a major reversal for the buck will show up, but we first need to see key support levels broken to invalidate the bull run.

 

US Dollar Index-Daily Chart

 

Looking at the wave structure, we see big wave C in the late stages here on a daily chart, so think a major reversal can be confirmed if the price drops below 107, which will then allow other assets to revisit the highs, such as S&P 500, as well cryptos.

 

 

 

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