Talking Points:
- US Dollar Technical Strategy: Holding Long
- Support: 11985, 11937, 11898
- Resistance: 12043, 12149, 12203
The Dow Jones FXCM US Dollar touched the strongest level in four months but failed to hold onto gains, retreating back into its now-familiar consolidation range. A daily close above the June 1 highat 12043 exposes a double top at 12149. Alternatively, a turn below the 23.6% Fibonacci retracement at 11985 clears the way for a test of the 38.2% level at 11937.
Our long-term fundamental outlook calls for a broadly stronger US dollar against its major currency counterparts. With that in mind, we are holding long via the Mirror Trader US dollar currency basket.