US Dollar Index (DX) Futures Technical Analysis – August 18, 2015 Forecast
September U.S. Dollar Index futures are trading flat in the pre-market session. The market appears to be consolidating after last week’s volatile sessions, but with a slight upside bias. The main trend is down according to the daily swing chart, however, momentum appears to be to the upside.
The short-term range is 98.425 to 95.945. Its 50% level or pivot is 97.185. This price is controlling the short-term direction of the market.
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Based on the pre-market trade, the downtrending angle at 96.68 is also influencing the direction of the market. A sustained move over the angle could fuel a rally into the pivot at 97.185. Overcoming this level and an uptrending angle at 97.24 will indicate the buying is getting stronger. This could drive the market into a major 50% level at 97.46 and downtrending angle at 97.55.
A break back under the downtrending angle at 96.68 will signal the presence of sellers. This could trigger a move into the next uptrending angle at 96.40. This level is also a trigger point for a steep sell-off into a long-term uptrending angle at 95.99, the low at 95.945 and a major 50% level at 95.86.
Based on the current price at 96.83, look for a bullish tone to develop on a sustained move over 96.68 and a bearish tone to develop on a sustained move under this price. On the upside, the next major pivot to deal with comes in at 97.185. This could affect not only today’s session, but the near-term direction of the market also.