The Dollar index has made an important low last week. I was expecting a new low towards 98.50-99 but it the market did not deliver. The Dollar index could very well have already completed its wave 4 correction before the next leg up starts towards 105-110. This is also a very important week news-wise as we have many talks by central bankers and macro-economic news pending.
With a low at 99.24 and intermediate support at 100, a pull back is justified for the Dollar index but not a break below 99.25 if we want to assume wave 4 is complete. A new low below 99.25 could push the index towards the long-term support trend line around 98-97.50.
Is testing important short-term resistance at 1.0560-1.0570. Trading inside a downward sloping wedge. A breakout above resistance will push it towards 1.07. Bulls need to break above 1.0725 for a move towards 1.08-1.09 to be possible. More pairs in my comments area.
Thank you for taking the time to catch up on my thinking.