USD back lower from correction.

Technical perspective: Fig.1

As of January 31

The USDX have indicated a slight recovery from its recent low at 78.74 well within our support trading range of 78.05-78.85 initial objective from the high of 81.78 basis point. The daily price movement would be in both directions as position adjustments takes place towards the opening of the new month of February and the closing trading days of the week. The USDX current outlook for the weekly intra-candle bar is within the range of the previous bar signaling a slight retracement from the downward movement resting on the support. However, the overall technical outlook is a near term bearish formation would continue until it finds a relative higher bottom for the index to continue its upward trend direction as shown on fig.1 chart.
The catalyst to trigger some momentum lower would eventually come from one of the fundamental reports expected this week especially for Thursday and Friday data. The significance of a slight correction higher as it opened for the new month of February at the 79.36 and currently working back down to the 78.85 mid-week support on a trading session to session basis and engulfing the corrective gain yesterday as of this writing.