The Decline of the US Dollar Continues: Will it Break Below 7.0635?
The US Dollar (USD) is facing continued downward pressure, with support at 7.1300 potentially out of reach. Analysts at UOB Group FX warn that while momentum is pushing the USD lower, it remains uncertain if the currency will break below the key level of 7.0635.
Bears in the market may attempt to test the 7.1300 support level, as the USD closed sharply lower at 7.1490. Despite being oversold, further declines could be on the horizon. Resistance is seen at 7.1580, with a breach of 7.1660 indicating a possible stabilization of weakness.
Looking ahead, the outlook for the USD remains negative, with support near 7.0635 holding strong. While recent momentum has increased the likelihood of a break below this level, the USD may still struggle to push lower. As long as resistance at 7.1850 remains intact, the bias remains tilted towards further downside movement.
In summary, the US Dollar is facing downward pressure, with the potential for a break below key support levels. Investors should monitor the currency closely and be prepared for potential volatility in the coming days. This could have significant implications for global markets and individual investment portfolios.