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Dollar Is Waiting for Confidence

Later today, the U.S. Commerce Department will release March wholesale inventories (-0.5% on month expected) and advance goods trade balance (55.0 billion dollars deficit expected). But the most important data of the day will be the Conference Board April Consumer Confidence Index, which is expected at 87.9. 

From a technical point of view, on a daily chart, Dollar Index stands within a triangle pattern and is supported by its 50-day moving average (in blue). The daily RSI stands around its neutrality area. Readers may therefore consider the potential for further advance in case of a break above April top at 101.00 which would lead to March high at 103.00. The nearest support would be set at April bottom at 98.80. A break below this threshold would lead to further weakness towards horizontal support at 97.40.

Source: TradingView, GAIN Capital


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