US Dollar advances to 99.55 ahead of Beige Book

The greenback, tracked by the US Dollar Index, seems to have recovered the smile on Wednesday, now moving to the area of 99.50/55, or daily tops.

US Dollar focus on US data

The index has plummeted to the 99.30 region on Tuesday as the selling pressure around the buck has intensified.

USD has extended its bearish note from last week, reacting adversely to comments by President Trump regarding the Dollar’s strength, although US Treasury Sec. S.Mnuchin tried to remove some heat from the buck yesterday (without success obviously), saying that in the longer run a strong Dollar is positive.

Looking ahead, the weekly report on crude oil inventories by the EIA is due later today seconded by the speech by Boston Fed E.Rosengren (2019 voter, hawkish) and the Fed’s Beige Book.

US Dollar relevant levels

The index is gaining 0.14% at 99.55 and a break above 100.04 (38.2% Fibo of the March drop) would aim for 100.11 (20-day sma) and then 100.61 (55-day sma). On the other hand, the immediate support aligns at 99.36 (low Apr.18) followed by 98.95 (200-day sma) and finally 98.67 (2017 low Mar.27).