The Dollar Index (DX) is trading at 82.26 ranges

by Admin

Market Commentary

The Dollar Index (DX) is trading at 82.26 ranges, near to the support of 81.80 of the medium term trend range bound between 83.40 and 81.80 formed during last couple of months; the bias is still negative. Historic correlation between the bench mark equity index of Dow Jones Industrials (DJIA) and DX suggests negative bias still prevailing for the US Dollar.

Dow Industrials (DJIA) is trading consistently beyond all time high of 14200-14300, historic high made during October 2007 indicating new rally is under progress but the momentum has run out of gas at 14800 ranges; only monthly close below 13700 would force us to rethink the bull trend.

Historic correlation between DX Vs DJIA suggests the long-term trend is still Dollar bearish till the Dollar Index is not closing above 84.50 on monthly basis though the short term and medium term trends are bullish.

Sideways-Up 1.3155 1.3110 1.3060 1.2970
Down 98.80 98.30 96.60 94.30
Sideways-Up 1.5560 1.5510 1.5420 1.5375
Sideways-Up 0.9480 0.9450 0.9400 0.9380
Down 129.00 128.70 126.40 125.80
Sideways-Up 1.0405 1.0380 1.0310 1.0280