24 Sep 2013
DXY continues consolidation / bounce – 80.71 may be the upside limit
FXstreet.com (Barcelona) - The DXY continues its counter-trend bounce amid mixed data from the US and Europe. German and US data as well as D.C. news flow to be the key drivers Tuesday.
DXY may find direction from German and/or US data
The US Dollar Index (DXY) will be reacting to German Business Climate, Current Assessment and Expectations as well as US home price indices , Consumer Sentiment and multiple “Fed Head” speeches on Tuesday. There is no data due out from the other key DXY driver, Japan.
Technical outlook for DXY
Technicians say the DXY is in the midst of a corrective bounce with a likely ceiling of 80.71. According to Elliott Wave specialist, Tim Thielen, CMT of Sea Change Capital, this bounce is a fourth sub-wave of a larger five wave sequence lower. Short-term support comes in at Wednesday’s low of 80.06. However, the projected downside target is actually 79.93.
DXY may find direction from German and/or US data
The US Dollar Index (DXY) will be reacting to German Business Climate, Current Assessment and Expectations as well as US home price indices , Consumer Sentiment and multiple “Fed Head” speeches on Tuesday. There is no data due out from the other key DXY driver, Japan.
Technical outlook for DXY
Technicians say the DXY is in the midst of a corrective bounce with a likely ceiling of 80.71. According to Elliott Wave specialist, Tim Thielen, CMT of Sea Change Capital, this bounce is a fourth sub-wave of a larger five wave sequence lower. Short-term support comes in at Wednesday’s low of 80.06. However, the projected downside target is actually 79.93.