(DXY) is paring some losses on Friday’s European morning trading, with buyers returning after a four-day losing streak. A mild risk aversion t has increased support for the safe-haven US Dollar (USD). and the sticky Personal Consumption Expenditures (PCE) Price Index failed to provide significant support to the US Dollar (USD), which hit fresh weekly lows on Thursday.Stronger-than-expected Consumer Prices Index (CPI) in the and some hawkish remarks from the Bank of Japan (BoJ) Governor Kazuo , lifted the Euro (EUR) and the Japanese Yen (JPY), respectively, and added pressure on the USD.
Daily digest market movers: US Dollar ticks up with key US data on tap
DXY technical outlook: Support at 103.85 remains in focusThe DXY index is moving within a horizontal channel, but the broader bullish trend appears to be losing steam and technical show signs of a potential trend shift.The 4-hour chart shows a bearish divergence in the Relative Strength Index (RSI) and price action capped below the 50-period Simple Moving Average (SMA).These negative signs keep the support area at 103.85 in play. Below here, the next target would be 103.40. To the upside, the index has some resistance at 104.20 ahead of the October peak at 104.63.US Dollar Index 4-hour chart
(Click on image to enlarge)
More By This Author:Australian Dollar Declines After US Data And Aussie Retail Sales USD/JPY Hits New Lows Below 152.00 Following A Hawkishly-Tilted Ueda Japanese Yen Strengthens Against USD Ahead Of BoJ Governor Ueda’s Press Conference
