The US dollar popped after Fed Chair Jerome Powell hinted at a return to larger rate increases. On the daily chart, after pulling back from its three-month high at 0.9440, the greenback found support over the 20-day SMA (0.9290), which coincides with the base of a previous bullish breakout. A bullish RSI divergence in this demand zone carries weight and the surge confirms the recovery. A break above 0.9400 puts the peak of 0.9440 under pressure and may resume the rally from early February. 0.9350 is now a fresh support.
