US Dollar Index Price Analysis: Decent contention remains around 105.00
|- DXY fades part of the Friday’s strong advance and returns to 106.30.
- Further weakness could see recent lows near 105.00 revisited.
DXY comes under pressure on Monday and partially reverses Friday’s gains to the proximity of 107.00.
The continuation of the selling pressure could facilitate a deeper pullback to, initially, the August low near 105.00 (August 2). This area of initial contention appears reinforced by the 55-day SMA.
The short-term constructive stance is expected to remain supported by the 6-month support line, today near 104.30.
Furthermore, the broader bullish view in the dollar remains in place while above the 200-day SMA at 99.81.
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