US Dollar Index forecast for the week of January 28, 2013, Technical Analysis

The US Dollar Index had a slightly negative week over the last five sessions, but remains well within the consolidation area that we have seen over the last several months. This area looks like a spot that the market has become very comfortable and complacent in, which means that when we finally get a breakout in either direction, it should be a significant one.

However, it should be stated that just below the negative candle we see massive amounts of support all the way down to the 79 handle. Above current areas, we see quite a bit of resistance going towards the 81 handle. Because of this, we need to break out of this consolidation box in order to place a longer-term trade.

 

US Dollar Index forecast for the week of January 28, 2013, Technical Analysis
US Dollar Index forecast for the week of January 28, 2013, Technical Analysis

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