The US Dollar Index has been capped at its 200-day moving average and the risk is that it now turns back lower for a resumption of the sell-off from the beginning of October, according to David Sneddon and his team at Credit Suisse in London.

The sell-off will likely lead to a test of the medium-term uptrend at 1190 (see Chart), though Sneddon says that only a move below this level would warn of a more important top.

See Chart.