The dollar was rejected from 97.7, a 19-month demand zone, and fell for 4 consecutive days (if we include Wednesday too).
Although the Fed raise rate from 2.25 to 2.5 as expected, the dampening of fewer rate hikes in 2019 is taking a toll on the dollar.
The dollar managed to recover fully from last Thursday drop but may not continue so as it is now resisted by a demand zone coupled with the previous rising trendline.
There's little reason for the dollar to break new high again as economic data is also seemingly weaker than expected recently.
And most importantly, the market is still very uncertain with Fed's commitment towards 2019 rate hike as well.
The dollar is likely to make further low and the very first new low in 3-months has appeared last week.
The dollar may fall as far as 95.6 where it will meet with very strong support - a 2-months demand zone sitting on the bottom of a 7-months rising channel, and 95.6 was the most important level back in mid-2019.
Although the Fed raise rate from 2.25 to 2.5 as expected, the dampening of fewer rate hikes in 2019 is taking a toll on the dollar.
The dollar managed to recover fully from last Thursday drop but may not continue so as it is now resisted by a demand zone coupled with the previous rising trendline.
There's little reason for the dollar to break new high again as economic data is also seemingly weaker than expected recently.
And most importantly, the market is still very uncertain with Fed's commitment towards 2019 rate hike as well.
The dollar is likely to make further low and the very first new low in 3-months has appeared last week.
The dollar may fall as far as 95.6 where it will meet with very strong support - a 2-months demand zone sitting on the bottom of a 7-months rising channel, and 95.6 was the most important level back in mid-2019.
The price gapped down as today's daily candle opened, showing resilience in 97.
The dollar failed to stand above 97 for the past 3 days after multiple attempts to break higher.
There's a high chance that the dollar long position could not hold any longer and starts a new wave of down-trend.