The US Dollar Index (DXY) continues to consolidate within a tight range. Over the past few days price-action has idled between 80.30 & 80.80. A breakout of this range will require an hourly or short-term higher low above 80.80 or a lower top below 80.30. Meanwhile, the Proshares Dollar Index ETF (UUP) is favored to appreciate to the 24 level while price-action remains above 23.
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The Swiss Franc was the broad loser on the day following profit-taking. The USD/CHF failed at the psychological .95 figure then the GBP/CHF carved out a small double bottom base, triggering a 1% correction in the trade-weighted Swissy. While oversold studies hint of further consolidation, the current correction should only last temporarily. As such, short EUR/CHF and GBP/CHF opportunities should become available early next week.
