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  • The index climbs to the 95.60 area, fresh YTD highs.
  • US 10-year yield remain close to the key 2.90% handle.
  • US Philly Fed manufacturing index came in above estimates at 25.7.

The US Dollar Index (DXY), which gauges the buck vs. its main competitors, keeps pushing higher in the second half of the week and is currently printing new yearly tops around 95.60.

US Dollar bid on auspicious data

The index gyrates around the 95.60 area – levels last seen a year ago – after the Philly Fed manufacturing index came in above initial estimates at 25.7 for the current month vs. 21.5 initially forecasted.

Further data saw Initial Claims rising at a weekly 207K, taking the 4-week Average to 220.50K from 223.25K.

In the meantime, the rally in the buck remains well and sound, facing the next relevant target at the 96.00 handle. The better tone in the index finds echo in yields of the key US 10-year reference, managing to test the critical 2.90% handle.

US Dollar relevant levels

As of writing the index is up 0.49% at 95.58 facing the next resistance at 95.65 (2018 high Jul.18) seconded by 96.00 (psychological handle) and finally 96.51 (low Jul.5 2017). On the downside, a breach of 94.70 (21-day sma) would target 94.40 (short-term support line) en route to 94.04 (23.6% Fibo of the April-June up move).