USDOLLAR charts bullish crosses on short-term chart
The daily USDOLLAR chart is between the upper blue and red bands in its bullish area. Moreover, its stochastic is above the 80+ levels (red rectangle), suggesting a robust underlying momentum. The longer this is maintained, the greater the likelihood of further appreciation.
The hourly chart's EMAs and stochastic have crossed positively (black ellipses). Therefore, momentum will support the greenback if the EMAs develop angle and separation and the stochastic moves into its upper quintile (blue arrow).
Source: www.tradingview.com
Fed Chair Powell's address on Friday was hawkish, which should support the dollar. To this end, real rates have been pushing up over the last hour. The correlation between the USDOLLAR and real rates is a strong 0.78. Accordingly, if the real rate continues on its current trajectory and this relationship carries, the USDOLLAR should have yield support, with both moving into their respective hourly bullish areas.
Russell Shor
Senior Market Strategist
Russell Shor is a Senior Market Strategist at FXCM, having been promoted to the role in 2025 in recognition of his depth of insight and consistent delivery of high-impact market analysis. He originally joined FXCM in October 2017 as a Senior Market Specialist.
Russell holds an Honours Degree in Economics from the University of South Africa, is a certified FMVA®, and a full member of the Society of Technical Analysts (UK). With over 20 years of experience in financial markets, his work is renowned for its clarity, precision, and strategic value across asset classes.
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