After subsidence, the dollar index since the beginning of the month continues to grow and currently is trading at 96.65 showing a reserve currency and the growth of our quote is directed downward. The single currency is declining relative to the major currencies, reinforcing the downward trend.
The interest in the dollar can be explained by the successful negotiations between the US and China, as well as the release of strong data on the US economy.
Regarding technical indicators, the ADX and MACD show us a downward movement, while based on the Stochastic we expect a reversal; the pair is below our moving averages.
We believe that now is the right time to enter short positions and take profits near the levels 1.13, 1.1270 and 1.1255.
