DailyFX.com -

Talking Points:

- USDOLLAR Preserves Bearish Structure Ahead of FOMC Minutes

- USD/CAD Range in Focus Ahead of Canada Employment Report

- NZD/JPY Close Above 89.50 to Raise Scope for Higher-High

Index

Last

High

Low

Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index

10412.42

10423.56

10401.55

0.02

75.99%

USDOLLAR(Ticker: USDollar):

  • Downside remains favorable for Dow Jones-FXCM U.S. Dollar Index as it continues to come off trendline resistance.
  • The dip below 10,406 (1.618% Fibonacci expansion from the August decline) opens the door for a move back towards 10,375 as it appears to be carving a lower-high in July.
  • Federal Open Market Committee (FOMC) Minutes in focus ahead of the Humphrey-Hawkins Testimony scheduled for next week.
  • May get more of the same from the FOMC as Chair Janet Yellen continues to highlight subdued wages.

USD/CAD:

  • Remains capped by 1.0690-1.0700 (23.6% Fib retracement), while 1.0610-20 (78.6% Fib expansion) holds up as near-term support.
  • A look at the broader channel favors a more meaningful rebound as it straddles trendline support.
  • Canada Employment report is expected to show another 20.0K rise in job growth; strong pickup may prompt a more material shift in the Bank of Canada (BoC) policy as Governor Stephen Poloz scales back willingness to lower the benchmark interest rate further.

NZD/JPY:

  • Making another move at 89.50 pivot, but need a closing price above the region to favor a further advance.
  • Would also like to see a bullish break in the Relative Strength Index (RSI) for confirmation/conviction.
  • Will watch the April high (89.91), but the next key topside objective comes in around 90.00 (50.0% Fib expansion)

For more updates, sign up for David's e-mail distribution list.

Bearish USD Setup in Focus Ahead of FOMC Minutes, Yellen Testimony

Join DailyFX on Demandfor Real-Time SSI Updates Across the Majors!

Read More:

Price & Time: Do or Die for Crude Oil?

AUDUSD July Range Targets Key Support- Shorts Favored Sub 9440

USDOLLAR Daily

Bearish USD Setup in Focus Ahead of FOMC Minutes, Yellen Testimony

Chart - Created Using FXCM Marketscope 2.0

  • Interim Resistance: 10,602 (38.2 retracement) to 10,615 (78.6 expansion)
  • Interim Support: 10,354 to 10,375 (50.0 retracement)

Release

GMT

Expected

Actual

MBA Mortgage Applications (JUL 4)

11:00

--

1.9%

Federal Open Market Committee Meeting Minutes

18:00

Click Here for the DailyFX Calendar

Related Articles
  1. Forex

    The Pros and Cons of a Fully Convertible Rupee

    Amid the rising economic power of India, the talks of making the Indian currency fully convertible are gaining momentum. We look at the pros and cons.
  2. Forex Fundamentals

    Chinese Yuan an Unlikely Reserve Currency

    As the world's second largest economy, China's challenge to America’s dominance includes a push to make the yuan (RMB), the world’s reserve currency. Whether it can do that now is unclear.
  3. Economics

    How Currency Enforcement Helped Sink The Trans-Pacific Partnership (TTP)

    One particular barrier to trade that has received much attention of late and caused delays in negotiations of the TPP is exchange-rate manipulation, by which a country artificially devalues its ...
  4. Forex

    Top U.S Forex News Sites

    Breaking news moves forex markets. Here are the top U.S. sites for tracking forex news.
  5. Investing

    Financial News Comparison: Bloomberg Vs. Reuters

    Access to financial information has grown with the expansion of digital news. Bloomberg and Thomson Reuters lead the pack, claiming a majority of the business information market.
  6. Economics

    Who Benefits From South Korea's Lowered Interest Rates?

    South Korea is the latest country to cut interest rates in an attempt to stimulate economic growth.
  7. Forex Education

    The Top Uses For P2P Currency Exchange

    Peer-to-peer (P2P) currency exchange networks offer a viable and cheaper alternative for buying and selling currencies.
  8. Forex

    Steps To Open An Offshore Forex Account

    Here is a simple breakdown of how to open an offshore forex account for US-based users, including legal requirements.
  9. Entrepreneurship

    Top Forex Trading Apps

    A brief overview of the top apps that help forex traders with on time information, charts and more.
  10. Investing Basics

    The Risks Of Buying Bitcoin

    Virtual currency is probably here to stay, but what about Bitcoin specifically? Does it have a first-to-market advantage? What are the risks involved?
RELATED TERMS
  1. No results found.

You May Also Like

COMPANIES IN THIS ARTICLE
Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!