US Dollar Index Price Analysis: Next on the downside comes 105.80

DXY remains under pressure in the lower end of the range.
Further weakness could see the post-FOMC top at 105.80 retested.

Pablo Piovano FXStreet

DXY extends the bearish mood and revisits the low-106.00s, where some initial support appears to have turned up so far on Monday.

Considering the ongoing price action, a break below the 106.00 zone should not be ruled out in the short-term horizon. Against that, the index carries the potential to drop further and retest the post-FOMC peak at 105.78 (June 15).

Despite the ongoing downside, the near-term outlook for DXY is seen constructive while above the 5-month support line near 103.60.

In addition, the broader bullish view remains in place while above the 200-day SMA at 99.18.

DXY daily chart

Dollar Index Spot

Overview
Today last price	106.47
Today Daily Change	59
Today Daily Change %	-0.07
Today daily open	106.54

Trends
Daily SMA20	106.57
Daily SMA50	104.56
Daily SMA100	102.55
Daily SMA200	99.14

Levels
Previous Daily High	107.36
Previous Daily Low	106.11
Previous Weekly High	107.96
Previous Weekly Low	106.11
Previous Monthly High	105.79
Previous Monthly Low	101.64
Daily Fibonacci 38.2%	106.59
Daily Fibonacci 61.8%	106.88
Daily Pivot Point S1	105.99
Daily Pivot Point S2	105.43
Daily Pivot Point S3	104.74
Daily Pivot Point R1	107.23
Daily Pivot Point R2	107.92
Daily Pivot Point R3	108.47

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.

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD drops to daily lows near 1.1630

EUR/USD now loses some traction and slips back to the area of daily lows around 1.1630 on the back of a mild bounce in the US Dollar. Fresh US data, including the September PCE inflation numbers and the latest read on December consumer sentiment, didn’t really move the needle, so the pair is still on course to finish the week with a respectable gain.

GBP/USD trims gains, recedes toward 1.3320

GBP/USD is struggling to keep its daily advance, coming under fresh pressure and retreating to the 1.3320 zone following a mild bullish attempt in the Greenback. Even though US consumer sentiment surprised to the upside, the US Dollar isn’t getting much love, as traders are far more interested in what the Fed will say next week.

Gold makes a U-turn, back to $4,200

Gold is now losing the grip and receding to the key $4,200 region per troy ounce following some signs of life in the Greenback and a marked bounce in US Treasury yields across the board. The positive outlook for the precious metal, however, remains underpinned by steady bets for extra easing by the Fed.