US Dollar Index: eighth daily gain in a row

The US dollar was about to end Wednesday mostly higher across the board. The best performer during the day was the Canadian dollar. Greenback lost strength during the American session against commodity currencies and trimmed gains. 

The US Dollar Index was headed toward the eighth daily gain in a row and the highest close since March 2015. Today the index peaked at 100.55 and the pulled back finding support above 100.10. Near the end of the session was hovering around 100.40. 

Not even lower-than-expected wholesale inflation and industrial production data in the US weakened the DXY, that continues to move to the upside, although at a lower speed, supported by rising US bond yields (boosted after Trump's victory) and by market expectations of a Federal Reserve rate hike in December. 

The core PPI fell 0.2% in October (against expectations of +0.3%) while Industrial production was flat in October (market consensus was +0.2%). Despite the headline, the IP report contained some positive facts like the mining output having the biggest rise in more than two years and manufacturing giving signals of a gradual recovery. 

Tomorrow in the US, the Consumer Price Index for October will be released and also jobless claims, housing starts, and the Philly Fed survey. 

DXY Technical levels 

To the upside, resistance could be seen at 100.50/55 (Nov 2015 highs / Nov 16 high), 100.60 (Dec 3 2015 high) and 101.00 (psychological). On the opposite direction support levels might be seen 99.85 (Nov 16 low), 99.40 (Nov 15 low) and at 99.10 (last week high)