In Focus: US Dollar Index (78.09 low)



USDX as of FEB 29, 2012



The USD Index has obtained its objective with an opening price of 78.10 today the 29th trading day of February. There has been a mixture of reports from the US. On the technical perspective, the price gap from Thursdays closing of 78.22 would make the trade for a temporary recovery as a relief from its recent declines.

This most recent price of 78.09 low may well be still a signal that further declines can be expected for the USDx in the trading range of 77.90 - 78.85 basis point. The adjusted and nearest resistance is now at 78.85. Failure for the USD to recover and try to seek a price consolidation near these bottom ranges would still be vulnerable for declines unless certain fundamental reports to support the USD would state otherwise. FED Chairman Ben Bernanke's testimony would be carefully watched for market direction in the next couple of days.