The Dollar index made a pullback as we expected yesterday but not as deep as I initially expected. Price remains inside the short-term bullish channel, so short-term trend remains bullish. However bulls should be on their toes and on high alert as the chances of a bigger reversal is very possible.
Short-term support is at 97.48 while resistance is at 98.30. Price is above the Ichimoku cloud. I expect soon to see a bigger reversal towards at least the Ichimoku cloud. This could happen next week however.
Green line - support trend line
The weekly candle remains bullish as the breakout is an important bullish signal. Bulls should be cautious if price breaks this week's low. This will be a very bearish sign. So a break back below the Ichimoku cloud will be a very bearish indication. The Green trend line is also important support. If broken, it will confirm the bearish reversal. Until then trend is bullish and next resistance is at 98.65.
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