The US dollar index remains bearish below 93.00, attentive to the data

• DXY fades the initial rally above the key 93.00 level.
• Durable goods orders from the US surprised to the upside in September.
• The Conference Board Consumer Confidence is featured below.

The dollar, in terms of US dollar index (DXY), reverts initial optimism and returns to the zone below 93.00 on Tuesday.

US Dollar Index Finds Resistance Near 93.15

The index lost bullish momentum just above 93.00, following the resumption of demand for the risk space amid alternate trends in risk appetite.

On the economic agenda, durable goods orders expanded by 1.9% monthly in September. In the housing sector results, the house price index increased 1.5% month-on-month in August, while the S & P / Case-Shiller index rose 5.2% year-on-year during the same period. Later in the American session, the Conference Board will publish its Consumer Confidence reading for the current month.

What to look for around USD

The index managed to overcome the downward pressure observed during the past week and has recovered the barrier of 93.00 and above so far this week. The current recovery in the dollar follows a change of mind among investors in response to the impact of the pandemic on global growth prospects, as well as the slim chance of a deal between Democrats and Republicans on a new stimulus bill. However, sentiment on the dollar is expected to deteriorate in the event of a “blue wave” after next month’s presidential election, while the Federal Reserve’s “longer down” stance also limits bullish attempts. occasional.

Technical levels

Right now, the index is shedding 0.21% to 92.87 and faces next support at 92.47 (October 21 monthly low) followed by 91.92 (23.6% Fibonacci from the 2017-2018 drop) and then 91.80 (May monthly low). 2018). On the upside, a break above 93.90 (Oct 15 weekly high) would expose 94.20 (38.2% Fibonacci retracement from the 2017-2018 dip) and finally 94.74 (Sept 25 monthly high).