FX.co ★ Technical analysis on the Dollar index for June 18, 2018

The Dollar index has reached again its May highs after the ECB meeting giving a push lower to EUR/USD which is the major component of the Dollar index. The index is trading at its yearly highs with the RSI diverging.

The Dollar index could make new highs this week but I will be looking for a major reversal for the index soon. Of course any break below the 93 level will confirm that a top is in, Shorter-term support is at 94.20. Resistance at 95.25 and next at 95.70 which is a possible target to be reached this week. Trend is bullish. However I prefer to be a contrarian now and look for reversal signs as I believe the Dollar will make a major top soon and reverse back below 90 over the coming months.