US Dollar Price Analysis: Bulls Eye A Run Towards 101.50s While In Bullish Territory

Dollars, Currency, Money, Us Dollars, Franklin

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The US Dollar rallied as global equities sold off on Thursday after data once again highlighted persistent US labor market strength. Also, we saw disappointing quarterly reports from Tesla and Netflix which soured investor appetite for tech and tech-adjacent market movers, sending the NYSE FANG+ index down 4.6% and propelling the Greenback higher. 

The dollar index DXY rose 0.58% against a basket of trading currencies as the money markets continued to price in the  Fed's overnight rate to rise to 5.41% in November and remain close to or above 5% until May 2024. On the charts, this leaves the Greenback looking bullish so long as it closes above the prior days' close and stays within bullish territory on the front side of the bullish trendline as follows:


DXY H4 chart

(Click on image to enlarge)

The imbalance between the last few closes is an internal area that could be mitigated in a correction in the sessions ahead but the bullish bias remains intact towards a test of 101.54 prior highs. 


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Disclaimer: Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only ...

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