US Dollar Index Price Analysis: DXY bounces off 10-week low towards previous hurdle

DXY consolidates the heaviest drop in six months.
Sustained break of the key support line, now resistance, joins bearish MACD to favor sellers.
April low adds to the immediate upside hurdle, February’s bottom stays on seller’s radar.

Anil Panchal FXStreet

Having recently dropped to the fresh low since February 26, the US dollar index (DXY) picks up bids to 90.23 amid Monday’s Asian session trading. In doing so, the greenback gauge snaps a three-day downtrend.

However, bearish MACD and Friday’s break of an ascending support line from January 06 keeps DXY sellers hopeful.

While the 90.00 threshold acts as immediate support, February’s low of 89.68 becomes the key for the US dollar sellers as a break of which may not hesitate to challenge the yearly bottom surrounding 89.20.

Alternatively, a clear upside break of the previous support line near 90.35 needs to cross April’s trough of 90.42 before convincing short-term buyers.

Though, the 91.00 threshold, a 21-day SMA level near 91.00 and a downward sloping trend line from March 31 close to 91.20 may challenge the DXY’s further upside.

DXY daily chart

Trend: Bearish

Additional important levels

Overview
Today last price	90.23
Today Daily Change	0.00
Today Daily Change %	0.00%
Today daily open	90.23

Trends
Daily SMA20	91.16
Daily SMA50	91.74
Daily SMA100	91.06
Daily SMA200	91.92

Levels
Previous Daily High	90.96
Previous Daily Low	90.19
Previous Weekly High	91.44
Previous Weekly Low	90.19
Previous Monthly High	93.33
Previous Monthly Low	90.42
Daily Fibonacci 38.2%	90.49
Daily Fibonacci 61.8%	90.67
Daily Pivot Point S1	89.96
Daily Pivot Point S2	89.69
Daily Pivot Point S3	89.19
Daily Pivot Point R1	90.73
Daily Pivot Point R2	91.23
Daily Pivot Point R3	91.5

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

AUD/USD consolidates above 0.7000; remains close to monthly top

AUD/USD holds steady above 0.7000 during the Asian session on Friday, trading just below the previous day's monthly low amid diverging forces. A hawkish RBA continues to support the Aussie, while the recent decline in US bond yields keeps the US Dollar depressed near a three-week low. However, oil-driven inflation fears reinforce Fed hike bets, which, along with geopolitical risks, could benefit the safe-haven buck and cap the currency pair.

USD/JPY bounces off one-month low; climbs to 157.00 amid reviving USD demand

USD/JPY rebounds from the 156.00 neighborhood, or a one-month low touched during Friday’s Asian session, with bulls looking to extend momentum beyond 157.00 amid the emergence of some US Dollar buying. Meanwhile, Japan's National CPI rose to a nine-month peak and reaffirmed BoJ rate-hike bets, which could support the Japanese Yen and cap gains for the currency pair.

Gold stalls recovery from three-month low as Fed hike bets and USD uptick cap gains

Gold struggles to capitalize on a modest intraday bounce from levels below the $4,000 psychological mark, or a three-month low set during the Asian session, and sticks to a negative tone for the second straight day. The Federal Reserve recently signaled that there is no urgency to raise interest rates. Traders, however, are still pricing in around an 80% chance that the US central bank will raise borrowing costs again at its December policy meeting.

Bitcoin, Ethereum, and Ripple rebound as major support levels cap recent sell-off

Bitcoin, Ethereum and Ripple rebound modestly on Friday after correcting and testing their key support zone the previous day. BTC holds the 50-day EMA, ETH finds support around the 100-day EMA, while XRP holds the horizontal floor near $1.300. The price action of these top three cryptocurrencies suggests a recovery if this critical support zone holds; a decisive close below these levels suggests a deeper correction.

The week ahead – UK budget, Shell, BP and HSBC and NatWest results

Financial markets have undergone another turbulent week with concerns about public sector debt levels, the impact of energy policy and higher oil and gas prices, and what events in France might mean for the UK economy going forward.

What November 3 means for the Fed's rate path and the US Dollar

The USD faces a decisive period ahead of the November 3 midterm elections. While markets anticipate another interest rate increase from the Fed in December, the battle for control of Congress could reshape fiscal policy expectations and, indirectly, the path of US monetary policy in 2027.