US Dollar Index Price Analysis: Correction lower could test the mid-98.00s

The rally in DXY run out of some steam above the 99.00 mark.
There is scope for the downside to extend to the 98.54 level.

Pablo Piovano FXStreet

DXY is shedding some ground after reaching fresh yearly peaks in the proximity of 99.20 earlier on Friday.

The current overbought levels in the dollar coupled with the strong rally carry the potential to spark a correction lower to, initially, the November 2019 top at 98.54 in the near-term.

Looking at the broader picture, the constructive perspective on the dollar is seen unaltered as long as the 200-day SMA at 97.76 underpins.

DXY daily chart

Dollar Index Spot

Overview
Today last price	99.07
Today Daily Change	11
Today Daily Change %	-0.04
Today daily open	99.11

Trends
Daily SMA20	98.1
Daily SMA50	97.59
Daily SMA100	97.86
Daily SMA200	97.77

Levels
Previous Daily High	99.11
Previous Daily Low	98.85
Previous Weekly High	98.71
Previous Weekly Low	97.44
Previous Monthly High	98.19
Previous Monthly Low	96.42
Daily Fibonacci 38.2%	99.01
Daily Fibonacci 61.8%	98.95
Daily Pivot Point S1	98.94
Daily Pivot Point S2	98.76
Daily Pivot Point S3	98.68
Daily Pivot Point R1	99.2
Daily Pivot Point R2	99.28
Daily Pivot Point R3	99.46

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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