While the Dollar has shown some bounce capacity from the prior session’s lows, it is facing an uphilldata battle today. In addition to expectations of an unchanged or lower Durable goods result, the market will alsosee a 1st quarter GDP revision which some suggest will be one of the weakest data points of 2014. We are a littlesurprised that an up-tick in German sentiment from GfK overnight has failed to start the Dollar out on a weakertrack. Pushed into the market today we favor a sell in the Dollar looking for at least a retest of the June lows downat 80.24 in the September Dollar. Down trend channel resistance in the Dollar is seen all the way up at 80.85 butcloser-in resistance comes in at 80.50.
Technical Outlook: Momentum studies are still bearish but are now at oversold levels and will tend tosupport reversal action if it occurs. A negative signal for trend short-term was given on a close under the 9-barmoving average. The upside daily closing price reversal gives the market a bullish tilt. With the close higher thanthe pivot swing number, the market is in a slightly bullish posture. The next downside objective is now at 80.13.The next area of resistance is around 80.50 and 80.63, while 1st support hits today at 80.26 and below there at80.13.