The US dollar treads water as initial jobless claims disappoint. After forming a double top at 1.0050 on the daily chart, the pair is struggling to hold above June’s lows (0.9560). A bullish RSI divergence showed a slowdown in the sell-off, which might prompt intraday sellers to cover in the demand zone. The bulls will need to push above the support-turned-resistance at 0.9800 to trigger a broader rally and ease the pressure. Otherwise, a drop below 0.9560 may cause another round of sell-off and send the pair to 0.9400.
