The greenback manages to recover from the lows extend the rally in Thursday’s session as well closed at the highest point of the day. Today the index settles above 20dsma trading at 94.80 levels. In case, if the price close above 20Dsma by the end of the day it would be the first close after March 10th.
On the daily chart, can observe triple bottom finds at 93.90 rounded and April 12th low was 93.60 levels. The parallel earlier swing low finds at 93.80 and 93.55 levels.
On the weekly chart, 100sma finds at 93.00 and 92.60 levels. The price has been falling with multiple positive divergences since February 2016.
Trading resistance seems at 95.00, 95.30 and 95.50
The MACD on the four-hour chart turned to positive. On our Tuesday’s article, we forecast the price likely to retrace in the coming days.
On the higher side, resistance seems between 95.20 and 95.30 levels. If settles above these 95.90 are highly likely. In between 161.8FE on the h4 seems at 95.50
Alternatively, trading support finds at 94.60, 94.30 and 93.80
“It is pretty much a given that they will take a pass next week,” agreed Jim O’Sullivan, chief U.S. economist at High-Frequency Economics.
“I don’t think they will want to rock the boat, there is plenty of time to prepare the market for June,” O’Sullivan said.