FXStreet (Edinburgh) – The greenback, in terms of the USD Index, is sharply lower on Monday, breaking below the 97.00 support amidst an increasing risk-on trade environment.
USD Index eyes on US data
The dollar has started the week on the wrong footing, breaching the critical support at the 97.00 handle and posting fresh multi-day lows at the same time. Ahead in the session, US Durable Goods Orders are due with prior surveys pointing to a strong reversal during June from May’s 2.2% drop.
Further into the week, the FOMC meeting (Wednesday) will prove to be critical for USD aspirations in the short term, while market expectations still keep September’s lift-off on the table.
USD Index relevant levels
As of writing the index is retreating 0.60% at 96.66 with the next support at 96.40 (low Jul.27) ahead of 96.26 (low Jul.14) and then 95.63 (low Jul.13). On the upside, a breakout of 97.62 (high Jul.24) would aim for 98.46 (high Apr.21) and finally 99.36 (high Apr.15).
(Market News Provided by FXstreet)