DOLLAR INDEX TECHNICAL ANALYSIS|BREAKOUT?

21 Jul 2020

The dollar index is trading at a very strong support level right now, with 4 successful touch points.

It is, however being pressured by a diagonal resistance, and, therefore, whether the level stands or it does not depends entirely on the diagonal resistance being broken.

The current EU deal strengthens the Union yet, judging by the Dollar reaction to the stimulus, which was to go down, might we expect the same one on the Euro? The European currency being one of the key components in the dollar index thus plays a huge role on whether the level stands or breaks.

Lets see how it goes. The weaker dollar benefits the US and the world so that would be a good thing for the recovery.

Thank you for reading, like and subscribe and have a nice day!