U.S. Dollar Index Futures (DX) Technical Analysis – August 15, 2019 Forecast

Based on the early price action, the direction of the index the rest of the session is likely to be determined by trader reaction to the short-term 50% level at 97.840.
James Hyerczyk
U.S. Dollar Index

The U.S. Dollar is edging lower against a basket of currencies on Thursday. The move is being primarily led by an uptick in the Euro after yesterday’s plunge. The British Pound is also catching a bid. The safe-haven Japanese Yen and Swiss Francs are trading slightly lower and the Canadian Dollar is firm against the greenback.

At 09:06 GMT, September U.S. Dollar Index futures are trading 97.810, down 0.016 or -0.02%.

There were no major economic reports out of the Euro Zone. In the U.K., Retail Sales came in at 0.2%, better than the -0.3% forecast. However, the previous month was revised lower to 0.9%.

Overnight, U.S. 30-year Treasury bonds fell below 2.0% for the first time, while the 2-year/10-year Treasury note spread hovered near an inversion. On Wednesday, these yields inverted, flashing a signal about the economy that many read to indicate a future recession.

Later today, the index is likely to be influenced by a slew of U.S. economic data including Retail Sales and the Philadelphia Fed Manufacturing Index.

Daily September U.S. Dollar Index

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 98.700 will reaffirm the uptrend. A move through 96.980 will change the main trend to down.

The main retracement zone support is 97.030 to 96.640. The intermediate retracement zone support is 97.510 to 97.230.

The short-term range is 98.700 to 96.980. Its retracement zone at 97.840 to 98.045 is currently being tested.

Daily Technical Forecast

Based on the early price action, the direction of the index the rest of the session is likely to be determined by trader reaction to the short-term 50% level at 97.840.

Bullish Scenario

A sustained move over 97.840 will indicate the presence of buyers. If this move creates enough upside momentum then look for the rally to possibly extend into the short-term Fibonacci level at 98.045, followed closely by the downtrending Gann angle at 98.075.

The angle at 98.075 is a possible trigger point for an acceleration into the next downtrending Gann angle at 98.390.

Bearish Scenario

A sustained move under 97.840 will signal the presence of sellers. The first downside target is a longer-term uptrending Gann angle at 97.680. The second is a short-term uptrending Gann angle at 97.570.

Crossing to the weak side of a downtrending Gann angle at 97.450 will put the September U.S. Dollar Index in a bearish position with 97.230 the next likely target.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.