Last week, I was expecting that USD may change its position. As such it got resistance around 80.50 level which I mentioned in my last week’s forecast.
Last few days moves were very encouraging which reflects that it can go more. I will be thinking about more up moves when it breaks 80.50 level, if it crosses that then I will talk about 82.
After this week moves USD goes into a short-term over-bought condition, which says that it can reverse its position. Therefore important initial support level is at 79 –79.5 range. I think still there is an option that USD may drop below 78 and the triggers the bearish pattern. This negative pattern can take USD around 75 level.
So again I want to repeat that 78–82 becomes an important zone for it. I think person who has created long positions, for them 77–77.5 is the important level and for short positions the level is 81.
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