USDOLLAR short-term analysis – 30 May 2023
Left Daily Chart
- FXCM's USDOLLAR is down on the day as it unwinds an overbought condition (black rectangle).
- However, the daily candlestick chart remains in its bullish channel, between the upper blue and red bands.
- If the daily chart remains in this channel and its RSI above 50, there will be an underlying bullish momentum driving the greenback.
- This will make dips in the uptrend interesting.
Right Hourly Chart
- The hourly candlestick chart has pulled back to a confluence of support.
- This level of support coincides with the S2 pivot, a 50% retracement and price support (green shaded horizontal).
- The hourly stochastic has dropped below 20. If it maintains this position the support will battle to hold.
- However, if the trend-following EMAs and the stochastic cross up, the dollar bulls may be satisfied that the daily overbought condition has unwound sufficiently.
Fundamentals
- Last Friday saw inflation data come in above expectations.
- This Friday will see the release of non-farm payrolls. If this also prints hotter than expected, the USDOLLAR will likely be supported.
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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