The US dollar index on Friday pulled back off the session highs of about 103.10 to trade at about 102.08 after the latest round of US data. The USDX appears to be trading within a sideways channel formation in the 60-minute chart.

The dollar currency index appears to have found support at the 100-hour moving average line, which triggered a late rebound. The rebound also prevented the DXY from falling into the oversold levels of the 14-hour RSI.

The US Dollar Index Fundamentals Overview

From a fundamental perspective, the dollar currency index is trading at the back of a relatively busy period in the US market. On Friday, the average hourly wage for December beat the expected (YoY) growth rate of 3.9% with a change of 4.1%. The (MoM) equivalent also outshone the forecast of 0.3% with a change of 0.4%. The US non-farm payrolls for the period exceeded the estimated tally of 170k jobs with a tally of 216k, while the unemployment rate remained unchanged from November at 3.7%, beating the forecasted rate of 3.8%.

Elsewhere, factory orders for November grew by 2.6%, beating the expected change of 2.1%, while the ISM Services PMI for the period missed the estimate of 52.6 with a reading of 50.6. Earlier in the week, the ADP employment change beat the estimated tally of 115k with a tally of 164k, while the initial jobless claims for last week came in lower than expected with a claim count of 202k versus a forecast of 216k. The S&P Global Composite PMI for December fell short of the forecasted reading of 51 with a reading of 50.9.

The US Dollar Index Technical Analysis (the 60-min Chart)

Technically, the dollar currency index appears to be trading within a sideways channel formation in the 60-minute chart. However, the 14-hour RSI has recently bounced back to prevent the DXY from falling into oversold conditions.

Therefore, the bulls will be targeting extended rebounds at about 102.77 or higher at 103.10. On the other hand, the bears will look to pounce on profits at about 102.08 or lower at 101.72.

The US Dollar Index Technical Analysis (the Daily Chart)

In the daily chart, the USDX appears to be trading within a descending channel formation. However, the 14-day RSI has recently bounced back to avoid falling into oversold conditions.

Therefore, the bulls will be targeting extended rebound profits at about 103.72 or higher at 105.04. On the other hand, the bears will be targeting long-term profits at about 101.18 or lower at 99.79.