• The US Dollar Index advances for two days, forming a “morning star” candle chart pattern.
  • Oscillators paint a mixed picture, though RSI could be turning bullish.
  • A daily close above 103.26 will pave the DXY’s way to test 104.00

The US Dollar Index (DXY), which tracks a basket of six currencies against the US Dollar (USD), advances 1.58% after hitting a 7-week low of 101.91. At the time of writing, the DXY is trading at 103.12 after hitting a daily low of 102.50.

US Dollar Index Price action

From a daily chart perspective, the DXY is neutrally biased, as it remains above the 2023 low of 100.85. In addition, the US Dollar Index pierced the last higher-high (HH) of 105.63 and printed a YTD high at 105.88. In addition, a candlestick chart pattern, “morning star,” it’s forming, which could pave the way to test the daily Exponential Moving Averages (EMAs) sitting at around 103.782.

For a bullish resumption, the DXY must achieve a daily close above the March 22 high at 103.26. Once done, the DXY could test the confluence of the 20-day EMA and 2017 high at 103.78. If that strong resistance area is broken, the 50-day EMA at 103.97 is up for grabs, ahead of 104.00.

Otherwise, buying weakness could mean that the ongoing leg-up is a correction of a continued downtrend. That said, the US Dollar Index’s first support would be 103.00. A breach of the latter will expose the March 23 swing low at 101.91, followed by the YTD low at 100.85.

Oscillators, like the Relative Strength Index (RSI), are tracking the trend, though it remains bearish. Contrarily, the Rate of Change (RoC) shows that sellers’ momentum is waning, about to turn neutral.

US Dollar Index Daily chart

US Dollar Index Daily chart

US Dollar Index Technical levels

Dollar Index Spot

Overview
Today last price 103.13
Today Daily Change 0.52
Today Daily Change % 0.51
Today daily open 102.61
 
Trends
Daily SMA20 104.31
Daily SMA50 103.44
Daily SMA100 104.22
Daily SMA200 106.78
 
Levels
Previous Daily High 102.63
Previous Daily Low 101.92
Previous Weekly High 105.11
Previous Weekly Low 103.44
Previous Monthly High 105.36
Previous Monthly Low 100.81
Daily Fibonacci 38.2% 102.36
Daily Fibonacci 61.8% 102.19
Daily Pivot Point S1 102.14
Daily Pivot Point S2 101.67
Daily Pivot Point S3 101.43
Daily Pivot Point R1 102.85
Daily Pivot Point R2 103.1
Daily Pivot Point R3 103.57

 

 

Share: Feed news

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

AUD/USD stays defensive below 0.6650 amid China slowdown worries

AUD/USD stays defensive below 0.6650 amid China slowdown worries

AUD/USD stays weak below 0.6650 in Asian trading on Tuesday, undermined by mounting worries over China's economic slowdown. The Aussie shrugs off small rate cuts by the PBOC and a subdued US Dollar. Pre-US earnings results caution also weighs on the pair. 

AUD/USD News

USD/JPY extends losses toward 156.00, as risk-off mood returns

USD/JPY extends losses toward 156.00, as risk-off mood returns

USD/JPY accelerates declines toward 156.00 early Tuesday. The Japanese Yen stays bid as risk-off flows return in the Asian session, sustaining the US Dollar weakness-driven downside in the pair. The pair looks to Japanese verbal intervention and mid-tier US data. 

USD/JPY News

Gold price moves away from over one-week low, climbs back above $2,400 mark

Gold price moves away from over one-week low, climbs back above $2,400 mark

Gold price extended its recent corrective slide from the record high touched last week and fell to a more than one-week trough on Monday. US President Joe Biden's withdrawal from the 2024 Presidential election increased the chances of Donald Trump becoming the next US President, raising hopes of a looser regulatory environment.

Gold News

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin finds support around the $67,000 level

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin finds support around the $67,000 level

Bitcoin and Ripple prices are holding steady around their respective weekly and daily support levels, hinting at an imminent rally. Meanwhile, Ethereum is encountering resistance at the $3,530 mark; a decisive close above this level would signal a bullish breakthrough.

Read more

Earnings review

Earnings review

In recent years, the focus has been on the Magnificent 7, particularly Nvidia’s monster earnings reports, which have dominated the market. While Nvidia’s results are still extremely important for overall sentiment, there is a hope that sales growth and revenues can pick up across a broad range of global markets and sectors.

Read more

Forex MAJORS

Cryptocurrencies

Signatures