Bullish on the USD Index - BAML

FXStreet (Barcelona) - MacNeil Curry, CFA, CMT, Technical Strategist at BofA-Merrill Lynch, remains bullish on the Dollar Index, targeting 100 and then 106 levels for the DXY.

Key Quotes

“While the decline in the US $ Index has been far deeper than expected, we maintain our bullish bias, particularly as the month of May is the second-strongest month of the year for the US $.”

“Looking specifically at the US $ Index, the confluence of support between 94.80 and 94.32 should prove significant support and the likely basing point for a resumption of the larger bull trend (we target 100 ahead of 106). An impulsive break of 96.17 would confirm the base and turn higher.”

UK manufacturing and lending numbers move in different directions – ING

James Knightley, Senior Economist at ING, reviews today’s UK data releases, noting that the numbers suggest the UK economy is in a decent shape, but possibility of any policy move by BoE in the near-term is negligible.
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EUR/USD eases-off 3-month highs at 1.1260

EUR/USD remains elevated in the European session, retreating from fresh three-month highs, as the shared currency prolongs its corrective mode against the US dollar from 1.51 handle with a break above 1.1280-1.13 confirming further bullish momentum.
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