The USD is being destroyed as a result of the tempering of 2019 rate hike outlook. We are thinking the dollar will see more selling following the U.S. initial claims uptick, with the prospect of a temporary avoidance of a U.S. government shutdown giving little reason to bargain hunt the dollar from the long side. It seems like the USD has made a major top, as its distinction as a strong economy has been pierced with the Fed adding recession prospects by its rate hike. The USD in the last positioning report showed a net spec and fund long of 40,999 contracts and that would seem to leave a long liquidation as a force in the USD trade. Resistance is around 9680 and 9695, while first support is at 9625 and 9580.
U.S. Dollar Index Mar ’19 Daily Chart