The Dollar index remains firm mainly moving sideways. A triangle formation implies on last spike higher towards 101 is possible before a bigger pullback to test support. Trend remains bullish in the short term.
Green line - support trend line
The Dollar index has broken out of the cloud support in the 4-hour chart. Short-term support is at 100.40 and resistance is at 100.70. A break above resistance for a final throw over is very possible. However, a break below 100.40 will confirm that the upward move from 98.80 is complete and at least a back test of the cloud support should be expected.
Black line - neckline support
The Dollar index is testing important cloud resistance in the Daily chart. From 101 to 101.80 we have very important resistance and I believe it is more probable to see a rejection and reversal than a bullish breakout.
The material has been provided by InstaForex Company - www.instaforex.com
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