The US Dollar Index has been consolidating this week after reaching a new high on the year at 90.15. However, after the Christmas holiday doll drum, it looks ready to continue its bullish ride.
We can see a flag pattern breakout in the 1H US Dollar Index (USDX) chart after Christmas holiday trading. Price now looks ready to break 90.16. If it doesn’t let’s see what happens in the 89.80-89.90 area. If price falls below 89.80, it is likely in further consolidation. A hold above 89.90 keeps the upward pressure on 90.16.
A break above 90.20 is likely going to open up the 92.50-92.65 highs from 2004-2006.
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