US Dollar in 4-month tops above 92.00 ahead of US ISM

• The index is advancing to fresh peaks above the 92.00 milestone.
• US 10-year yields keep the sideline theme between 2.95%-2.96%.
• US ISM manufacturing coming in next in the US calendar.

The US Dollar Index (DXY), which gauges the buck vs. its main competitors, is prolonging the upside further north of the key 92.00 barrier.

US Dollar bid ahead of ISM

The rally in the greenback stays everything but abated so far today, up for the fifth session in a row and clinching levels last seen in early January above 92.00 the figure.

The up move in DXY comes in response to increasing selling pressure in EUR, GBP and JPY vs. the buck and despite yields of the key US 10-year reference are extending the sideline theme for the time being. The upside in USD has been accompanied by a shift of investors to the Fed’s monetary policy and the divergence vs. its global peers.

Later in the NA session, US Construction Spending is due ahead of the more significant ISM Manufacturing, with consensus expecting the indicator to come in a tad lower at 58.6 for the month of April.

US Dollar relevant levels

As of writing the index is up 0.39% at 92.20 and a break above 92.52 (61.8% Fibo of 95.15-88.25) would aim for 92.64 (high Jan.10) and finally 94.59 (200-week sma). On the other hand, the next support emerges at 90.89 (38.2% Fibo of 95.15-88.25) followed by 90.98 (10-day sma) and then 89.95 (high Apr.20).