US Dollar, USD Price Analysis
- The US Dollar[1] has put in two days of strength after finding support on Tuesday morning.
- Ahead of that support bounce, USD[2] was trending lower after a rising wedge break.
- Can USD bears take control? The next seven days present a busy economic calendar[3] with numerous US drivers coming into the equation. Key note – July NFP[4] takes place on Thursday of next week, due to the 4th of July holiday being observed on Friday the 3rd.
US Dollar Bounces From Support After Rising Wedge Break
The US Dollar came into this week with a full head of steam[5]: After a bounce began a couple of weeks ago, with support coming in at a huge level on the chart, USD prices began to trend-higher and that lasted into the end of last week. This week’s open, however, showed different tonality as sellers were on the prowl and price action[6] began to break down.
As looked at on Monday, that bounce in the US Dollar took on the form of a rising wedge formation[7]. Such formations will often be approached with the aim of bearish breakdowns, looking for the same lack of enthusiasm shown by bulls upon tests of new highs to, eventually, play through for a break of support. That took place on Monday afternoon and continued through early-Tuesday; with another item of support coming into play around 96.47.
US Dollar Four-Hour Price Chart
Chart prepared by James Stanley[8]; USD, DXY on Tradingview[9]
Since that support came into play on Tuesday morning, US Dollar prices have been running-higher, off-setting a large portion of that early-week
