After its meteoric rise, the US dollar is likely to go sideways as traders await a new catalyst from this week’s FOMC.
The break below 0.9260 along with a bearish MA cross was a sign that the price action has gone into a consolidation if not a reversal. A brief rally is not excluded but the recent high of 0.9375 may cap any advance in the short-term.
The lower band of the trading range is 0.9180, a resistance-turned-support which also lies around the 20-day moving average on a larger time frame.
