The USD certainly rallied on the back of FOMC news but whilst some were calling this moving ‘soaring’ I beg to differ. It is still trading below major resistance and until such time that there is a break and hold above this level then, as far as I’m concerned, not a lot has changed!
USDX daily: the USD has moved higher, for sure, BUT it is still has to navigate a major monthly bear trend line and, then, a potential ‘Double Top’. It has a lot of work to do before USD bulls can get too excited:
EURX daily: it looks like it is back to the trading channel for the time being at least:
Summary: the USD needs to close and, more importantly, hold above BOTH the monthly triangle trend line AND the previous high before a new bullish breakout move can be confirmed.
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