Risks of medium term bearish reversal in Dollar jumps after the much more dovish than expected Fed projections. Break of 1.1419 resistance is taken as the first sign of medium term bottoming at 1.1176. That comes after hitting 61.8% retracement of 1.0339 to 1.2555 at 1.1186, on bullish convergence condition in daily MACD. Sustained trading above 1.1419 will bring further rise to 1.1569 to key resitance to confirm medium term bottoming. Though, it’s still too early to confirm trend reversal as we’ll have to look at the eventual strength and structure of the rise from 1.1176 to make a judgement.
