The dollar extends strong recovery rally on Tuesday to 110.46 (50% retracement of 112.19/108.72 downleg) after surge through important barrier at 110.00.
Fresh bullish momentum could drive the price higher for test of key barriers at 111.00 zone (Fibo 38.2% of 114.49/108.72 descend at 110.93/04 Aug post-NFP high at 111.04), break of which would generate another strong bullish signal.
Broken 110.00 hurdle (Fibo 38.2% of 112.19/108.72 bear-leg/10SMA) now acts as solid support.
US retail sales data are due later today and expected to further support the dollar on release at/above forecast for July at 0.4%.
Res: 110.61, 110.93, 111.04, 111.30
Sup: 110.00, 109.80, 109.60, 109.40
