Share:

  • The index loses the grip and drops to weekly lows near 102.80.
  • Next on the downside emerges the 3-month line near 101.60.

DXY accelerates losses and breaks below the key support at 102.00 the figure on Thursday.

The continuation of the downtrend could put the 3-month support line near 101.60 to the test in the near term. Below this line, the dollar is expected to face extra weakness and could open the door to a potential move to the 2023 low around 100.80 (February 2).

In the longer run, while below the 200-day SMA at 106.45, the outlook for the index remains negative.

DXY daily chart

Source: https://www.fxstreet.com/news/usd-index-price-analysis-further-losses-likely-below-10160-202302091339