⚡Crypto Alert : Altcoins are up 28% in just last month! Unlock gains and start trading now - Click Here

USD Index Rallies Following JOLTS Jobs Report

Thus far, the trading week has started in the green for the December USD Index. Rates are currently in the 97.045 area, with bids hitting the market following the release of the JOLTS jobs report. For the time being, traders are long the USD as uncertainty swirls around the U.K. and Brexit.

Earlier, the JOLTS jobs numbers from October were released to the public. The figure came in at 7.079 million, above expectations (6.995M) and the previous release (6.960M). This is a reassuring signal for investors, especially on the heels of last Friday’s disappointing Non-Farms Payrolls report.

JOLTS Rallies The December USD Index

At press time, December USD Index futures have broken above two levels of daily resistance.

December USD Index Futures (DX), Daily Chart
December USD Index Futures (DX), Daily Chart

Here are the levels to watch for the remainder of today’s session:

  • Support(1): Daily SMA, 96.755
  • Support(2): Bollinger MP, 96.610

Overview: From a technical standpoint, the long-term uptrend remains valid for the USD Index. Look for this market to test yearly highs (97.350) or enter correction as we approach the FED’s December 19 meeting.

One item worthy of note is the shift in the CME FedWatch index. Following last week’s brutal plunge in equities, it appears traders are beginning to back off of the notion that a December FED rate hike is a guarantee. The odds of a ¼ point move have slipped to 76.6%, down from 84.4% one week ago. While not a huge shift, there is a growing belief that the FED may take extraordinary measures in the face of increasing stock market volatility.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
ABOUT THE AUTHOR See More
Avatar
Shain Vernier
US Analyst
Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.
Related Articles
🔒 OPEN A TRADING ACCOUNT