Home US Dollar Index eases from tops, back around 96.15 ahead of Fed
FXStreet News

US Dollar Index eases from tops, back around 96.15 ahead of Fed

  • The index gives away some ground, returns to 96.15/10.
  • The Federal Reserve is expected to keep rates on hold today.
  • US Initial Claims rose at a weekly 214K, in line with estimates.

After a brief test of daily peaks in the 96.20 area, the US Dollar Index (DXY) is now coming under some selling pressure and is back around the 96.15/10 band.

US Dollar Index looks to FOMC

The index continues to exchange gains with losses on Thursday amidst the broad-based low volatility in the global markets.

Market participants appear to have already digested the recent US mid-term elections the immediate focus is now back on the Federal Reserve. Today’s meeting is expected to yield no relevant announcement, leaving all the excitement for the December meeting, where a move on rates is forecasted.

In the meantime, the buck should look to the omnipresent US-China trade jitters for direction along with volatile headlines coming from the EU-UK Brexit talks (or lack of them).

Earlier in the day, Initial Claims rose 214K from the week earlier, taking the 4-Week Average to 213.75K from 214.00K.

US Dollar Index relevant levels

As of writing the index is losing 0.06% at 96.14 facing the next support at 95.68 (low Nov.7) followed by 95.47 (low Oct.20) and finally 95.39 (55-day SMA). On the flip side, a break below 96.49 (10-day SMA) would open the door to 96.68 (high Nov.5) and then 97.19 (2018 high Oct.31).

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.