The US Dollar was driven by slight upside momentum on Thursday. The pair found support at the weekly PP, the 61.80% Fibo retracement and the 55– and 200-hour SMAs circa 110.20 and thus had reached the weekly and monthly R1s and a downward-sloping trend-line near 110.75 by Friday morning.
It seems that the Greenback could be ready to breach this dashed trend-line that should result in a surge either today or early next week. A breakout above the monthly R1 would be followed by a test of the weekly R2 at 111.30.
In case this resistance is not breached, the rate should return back to the 110.20 area. This support is unlikely to be surpassed, as it is strengthened not only by technical indicators on the hourly but also on the 4H chart.
