Mecklai Graph of The Week


DXY:- Will It able to break the range?



The Above Line Chart Is of Dollar Index from 01st May 2023 to 15th May 2024


Recent CPI data has given some relief to the Fed and market participants. The aggressive rate hike cycle is finally showing its signs on the economy. Weaker US economic data and cooling inflation have reaffirmed hopes of at least two rate cuts in 2024.


Technically, DXY has support at 104 level following the current channel. If it closes below this level, next support will be at 102.40 (~1.50%) and then 100.60 (~3%) levels. If it takes support from here, we could see the channel continue and DXY may bounce back to 105 again.


16, May, 2024