Talking Points:
– Bearish USDOLLAR Outlook Favored on Close Below 10,470
– EUR/USD Holds Key1.3650-60 Support Even as 1Q GDP Disappoints
– USD/JPY Hits Fresh Monthly Low (101.30) But Needs Close Below 101.50

The Dow Jones-FXCM U.S. Dollar Index (Ticker: USDollar) may resume the downward trend from earlier this year as it retains the opening range from the beginning of the month, and the greenback may weaken further over the remainder of the week on another failed attempt to close above the 10,470 pivot.

Index

Last

High

Low

Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index

10460.19

10487.07

10448.69

-0.02

122.37%

Given the limited market reaction to the better-than-expected U.S. data, it seems as though market participants are waiting for Fed Chair Janet Yellen as the central bank head is scheduled to speak later today, but there’s certainly limited scope of seeing a major shift in the policy outlook as the committee remains in no rush to normalize monetary policy.

With that said, the dollar may continue to carve lows highs & lower lows going into the second-half of 2014, and the reserve currency remains at risk of giving back the advance from back in October (10,354) as Ms. Yellen remains reluctant to move away from the zero-interest rate policy (ZIRP).

Join DailyFX on Demandto Cover Current U.S. dollar Trade Setups

Read More:
US Dollar Forecast to Rally versus Euro, GBP, but Watch Yen and AUD
Sea Change in Central Bank Policy Leaves EUR/JPY, GBP/JPY Vulnerable

USDOLLAR Daily

Chart – Created Using FXCM Marketscope 2.0
Failure to Close Above 10,470 to Highlight Lower High
Interim Resistance: 10,602 (38.2 retracement) to 10,615 (78.6 expansion)
Interim Support: 10,354 to 10,375 (50.0 retracement)

Release

GMT

Expected

Actual

Consumer Price Index (MoM) (APR)