US Dollar Index retreats from highs

FXstreet.com (Edinburgh) -The US Dollar index, which tracks the greenback against its major rivals, is cashing up some gains after hitting fresh 5-week highs beyond 82.40.

DXY remains well bid

The bullish sentiment surrounding the USD is extending for the fourth straight week, bouncing off multi-week lows around 80.70/75. The USD looks to keep the bid tone as today’s US manufacturing data are expected to come in solid, adding buying pressure to the greenback. In the opinion of Stephen Gallo, Strategist at BMO, “We think the underlying bid tone in the USD reflects the fact that economic data from the US this week are again expected to be broadly consistent with a September Fed taper. We have to assume recent chatter about the $15.0-$25.0 billion range for “Septaper” is correct, given that it is also in-line with the view of our own macro team”.

DXY key levels

As of writing the index is up 0.08% at 82.33 with the next resistance at 82.50 (high Aug.2) ahead of 83.12 (high Jul.15) and then 84.75 (high Jul.9). On the downside, a breach of 81.10 (low Aug.27) would expose 80.86 (low Aug.8) and finally 80.75 (low Aug.20).
DXY niveles críticos

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