dollar_index

BTST IN INFY AUGUST FUTURES BUY@1410 STOP@1400 TARGET@1430 LOT:600 QTY:2

Dollar Index study - DXY pullback and possible direction

The U.S. dollar after a consistent decline since the FOMC Policy is now witnessing some mild bullishness to post a rebound following a long stretch of declines. The Fed meeting minutes released lately shows that officials factored in the tax cuts. While tax cuts were one of the factors that led the central bank to hike interest rates in December. Inflation,...

Gold steadied last week after witnessing a steady decline is seen rebounding as the dollar seems to be tripping on reduced expectations for U.S. interest rate hikes next year. The dollar suffered its biggest drop in five months on Wednesday after minutes from the U.S. Federal Reserve's showed "many participants" were concerned inflation would stay below the...

Supports proved to be quite determined in producing a strong recovery. However the rally now has tread into median line resistance and this could now hold back further strengthening next week and push the DX into a range until 94.30 is surpassed.

Dollar Index has been witnessing a freefall and the fall beyond critical supports around 94.30 mentioned in the last issue lead the DX lower. Currently, the U.S. currency's performance against the euro and five other currencies, hit its lowest level since May 3, 2016. The sharp weakness not witnessed since the period of January to July 1986 is driven by...

In view that the dollar has reached a phase where some consolidation / correction is imminent. We can look at either going long in the dollar to hedge our Nifty / Bank Nifty longs. Or we can also pick dollar puts for next week as a stand alone trade in just the dollar.

* Falling trendline breakout * Triangle breakout * Trading above pSAR