➡️ Macro perspective:
The US dollar index rose ahead of the GDP data but then fell again. This slightly weaker data encourages investors to hold risk assets, but the big data is the January PCE released today.
➡️ Technical perspective:
DXY produces higher highs, followed by higher lows, signaling the start of an uptrend. If DXY rises immediately, a break above 104.20 would confirm the uptrend and then test the next resistance at 104.40. Instead, DXY could start trading sideways between 103.60 - 104.20.
The US dollar index rose ahead of the GDP data but then fell again. This slightly weaker data encourages investors to hold risk assets, but the big data is the January PCE released today.
➡️ Technical perspective:
DXY produces higher highs, followed by higher lows, signaling the start of an uptrend. If DXY rises immediately, a break above 104.20 would confirm the uptrend and then test the next resistance at 104.40. Instead, DXY could start trading sideways between 103.60 - 104.20.
