USD Index to head lower on soft inflation expectations – OCBC
…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]
There was a 1% rally after the US Consumer Price Index (CPI) release but USD Index (DXY) gains were more than reversed. Downside surprises to US data may see more room for the USD to fall, according to economists at OCBC Bank.
“Today we have US Retail Sales, Uni of Michigan Sentiment, of which we pay close attention to 1-y and 5-10y inflation expectations component. A softer print may see DXY trade lower.”
“Daily momentum is showing very tentative signs of turning mild bearish but decline in RSI moderated. Bias to lean against strength.”
“Resistance at 113.70, 114.77 (previous high).”
“Support here at 112.40 (50% fibo retracement of Sep high top Oct low), 112 (21DMA) and 111.20 levels (23.6% fibo).”
[/s2If]
Join Our Telegram Group
