TD Research discusses the USD outlook and highlights a state of indecision for markets around current levels.
"The BDXY continues to try and reclaim the recent highs posted in March. It now sits comfortably about the 200dma, and a few key moving average crosses appear to be turning a bit more supportive. We don't see a breakout on the horizon, but price action should remain more USD supportive if the data complies," TD notes.
"Powell signaled the Fed's in no rush to taper but has indicated the planning process has begun. His comments dinged the USD, though this week's data releases will also set the stage for the near-term direction,' TD adds.