US Dollar Index Price Analysis: DXY extends support line break to refresh two-month low
|- DXY stays on the back foot near multi-day low.
- Bearish MACD, sustained trading below 100-day SMA also back the bears.
- Monthly resistance line adds to the upside filters.
US dollar index (DXY) drops to a fresh low since March 03 while taking offers around 90.75, down 0.09% intraday, during early Monday.
While dropping back below the 100-day SMA, the greenback gauge broke an upward sloping trend line from January 06 on Friday.
With the bearish MACD also backing the extension of losses, DXY is up for breaking the previous month’s low near 90.60.
Though, any further weakness will have 90.30 and the 90.00 threshold as extra supports to watch before targeting February low near 89.65.
On the contrary, a corrective pullback beyond the previous support line, around 90.90, need not only break the 100-day SMA level of 91.02 but should also cross a descending resistance line from March 31, around 91.25 by the press time, to recall the greenback bulls.
If the DXY prices remain firm above 91.25, February’s top near 91.60 should return to the charts.
DXY daily chart
Trend: Bearish
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