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Second trading day of the year saw U.S. dollar strength continue but bulls were unable to push price to new cycle highs. Inflation is rising in Europe and, if sustained, will be a headwind to the dollar rally.
Sellers stepped in above 2015 high (1.0325), just below 2016 high (1.0340). A successful break would target long term support/resistance line (1.0450 - 1.05). Initial support is seen in 1.02 - 1.0250 band and a stronger one near 50 DMA.
Sellers stepped in above 2015 high (1.0325), just below 2016 high (1.0340). A successful break would target long term support/resistance line (1.0450 - 1.05). Initial support is seen in 1.02 - 1.0250 band and a stronger one near 50 DMA.