US Dollar Index fades the uptick to 97.40 ahead of Retail Sales

• The index rebounds from the 96.80 region and retakes 97.00.
• Yields of the US 10-year note move beyond 3.10%.
• US Retail Sales, Philly Fed index next of relevance.

The US Dollar Index (DXY), which tracks the buck vs. a basket of its main rivals, has turned positive for the day after breaking above the critical barrier at 97.00 the figure.

US Dollar looks to data, Brexit

After bottoming out in the 96.80 region during early trade,  the index managed to regain some buying interest following the developments around the Brexit negotiations.

In fact, disappointing news from May’s Cabinet, including loss of support from members along with some of them resigning have been taking a toll on both the Sterling and the risk-associated space, all benefiting the buck.

In the US data space, October’s Retail Sales are coming up next along with the regional manufacturing gauge measured by the Philly Fed index.

US Dollar Index relevant levels

As of writing the index is gaining 0.14% at 97.15 and a break above 97.69 (2018 high Nov.12) would open the door to 97.87 (61.8% Fibo retracement of the 2017-2018 drop) and then 99.89 (monthly high May 11 2017). On the downside, immediate contention emerges at 96.76 (low Nov.14) followed by 96.56 (21-day SMA) and finally 95.68 (low Nov.7).