US Dollar Index: Although the Index is hesitating, it continues to maintain its broader medium term upside with eyes on the 84.00 level. A clearance of there will pave the way for a run at the 84.55 level. Further out, resistance resides at the 85.00 level, its psycho level followed by the 86.25 level. Its daily RSI is bullish and pointing higher suggesting further strength. On the downside, support lies at the 82.73 level, its July 19’2012 low where a breach will aim at the 82.00 level and then the 81.78 level. A reversal of roles as support is expected to occur here and turn the index higher. However, if this fails to occur, its May 14’2012 high at 80.35 level will be targeted. All in all, the Index continues to retain its medium term upside though facing price hesitation.
