USD Index Futures Rally Above 96.000

February has started with a bang for USD Index futures. Values are above the 96.000 handle and the post-FED slump appears to be over. At press time, the March USD Index is poised to post its fifth consecutive positive close. With no primary market movers scheduled until next week, the Greenback’s bullish rally may extend by Friday’s closing bell.

At 7:00 PM EST this evening, U.S. FED Chairman Jerome Powell is holding an informational town hall meeting with a group of educators. The discussion is to cover the basic function of the FED, as well as assorted economic and financial issues. Town hall-style conversations are often unscripted and open the floor to participants for questions and inquiries. While it is unlikely that Powell will move markets during this engagement, enhanced volatility is still possible.

March USD Index Futures: Technical Outlook

The March USD Index has been on the bull ever since last Wednesday’s FED Announcements drew to a close. A dovish Jerome Powell prompted an exodus from the Greenback on 30 January. Since then, it has been all systems go for the USD.

For the next 24 hours, here are two levels to keep an eye on:

• Resistance(1): Swing High, 96.375
• Support(1): Bollinger MP, 95.655

Overview: At the moment, it appears that the Swing High (96.375) may be challenged by the weekend. In the event that it is, a short trade may set up for late-Friday or early next week.

There is no arguing that the fundamentals are soft moving forward for the USD. However, the daily trend is up and forex sentiment toward the Greenback is improving. Until the release of January’s FOMC Minutes on February 20th or Q4 U.S. GDP the following week, the dollar is in a great position to gain market share for the near-term.

ABOUT THE AUTHOR See More

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

Silver (XAG/USD) Eyes $32.85 as Bulls Bet on Demand, Rate Cuts

2 hours ago

Save

Gold (XAU/USD) Bounces After 1% Dip—Can Bulls Hit $3,370?

2 hours ago

Save

Gold Price Weekly Forecast: Will XAU/USD Break $3,370 as US Jobs, GDP Loom?

2 days ago

Save

Comments

0 0 votes

Article Rating

Subscribe

Login

Notify of

new follow-up commentsnew replies to my comments

Please login to comment

0 Comments

Oldest

Newest Most Voted

Inline Feedbacks

View all comments