US dollar index erases losses and rises marginally on Wednesday

The US dollar finished with mix results on Wednesday.  The Greenback fell against commodity currencies and the yen but managed to post modest gains versus the pound and the Euro. 

While EUR/USD dropped to 1.0954 hitting the lowest since July, USD/JPY fell to 103.14, 1-week low, moving further away from the key 104.20/50 area. The yen was among the top performers despite the rise in equity prices in Europe and in Wall Street. The Dow Jones was gaining 0.37%, headed toward the highest close in a week. 

Among currencies, the Aussie and the Yen were among the top performers, while the euro dropped in the market, ahead of the European Central Bank meeting that will take place on Thursday. 

The US Dollar index, which gauges the US dollar against its main competitors, was up marginally 0.05%, hovering around 97.88. The index recovered during the last hours after spending most of the day in negative territory. During the Asian session bottomed at 97.60 (above Tuesday’s lows) and then climbed to 97.92. The area around 97.90 capped the upside for the second day in a row. 

US Dollar relevant levels

To the upside, resistance levels could be seen at 97.92, (Oct 19 high), 98.05/10 (weekly high), 98.59 (Mar 3 high) and 99.00 (psychological). On the downside, support could be located at 97.60 (Oct 19 low) followed by the area around 97.45 (Oct 12 & 13 low) and then 97.15/20 (Oct 7 high).