US Dollar Index Price Analysis: Downside pressure alleviated above 91.00
|- DXY’s recovery run out of steam around 90.70 on Monday.
- Further upside should meet the next hurdle at the 91.00 area.
After bottoming out in fresh lows near 89.20 earlier in the new year, the dollar managed to regain moderate buying attention and lifted the index to the vicinity of 90.70 on Monday.
Despite the ongoing rebound, the prospect for the greenback remains fragile, with further losses still seen challenging the 89.00 support ahead of the March 2018 low at 88.94.
If the bullish attempt becomes more sustainable, then there is the chance of DXY to move to the weekly high in the 91.00 region (December 21). Above this level, the prevailing downside pressure is expected to mitigate somewhat.
In the longer run, as long as DXY trades below the 200-day SMA, today at 94.65, the negative view is forecast to prevail.
DXY daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.