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US Dollar Index Price Forecast: Remains below 101.00 near ascending channel bottom

  • US Dollar Index may test the immediate barrier at the nine-day EMA of 100.98.
  • The Relative Strength Index around 52 indicates neutral momentum.
  • Primary support rests at the ascending channel's lower boundary, around 100.80.

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is extending its losses for the second successive day, trading around 100.80 during the early European hours on Wednesday. The technical analysis of the daily chart indicates an ongoing bullish bias, as the dollar index is trading within the ascending channel pattern.

The near-term tone is neutral to mildly constructive as price holds above the 50-day Exponential Moving Average (EMA), but the index remains capped by the shorter nine-day EMA. The 14-day Relative Strength Index (RSI) around 52 suggests momentum is neither overbought nor oversold, hinting at consolidation while the market digests recent gains below nearby dynamic resistance.

The US Dollar Index may rebound toward the initial barrier at the nine-day EMA of 100.98. A break above the short-term price average would strengthen the bullish bias and support the dollar index to test the 14-month high of 101.80, which was recorded on June 24, followed by the upper boundary of the ascending channel around 102.90.

On the downside, the primary support lies at the lower boundary of the ascending channel around 100.80, followed by the 50-day EMA at 100.23. Further declines below this confluence support zone would cause the bearish emergence and put downward pressure on the US Dollar Index to navigate the region around a nearly five-month low of 97.62, recorded on May 6.

Chart Analysis Dollar Index Spot
US Dollar Index: Daily Chart

(The technical analysis of this story was written with the help of an AI tool. Know more.)

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the weakest against the Australian Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.09%-0.15%-0.03%-0.06%-0.19%-0.07%-0.02%
EUR0.09%-0.11%0.04%0.03%-0.14%-0.03%0.07%
GBP0.15%0.11%0.15%0.13%-0.03%0.08%0.17%
JPY0.03%-0.04%-0.15%-0.03%-0.16%-0.05%0.00%
CAD0.06%-0.03%-0.13%0.03%-0.14%-0.07%0.04%
AUD0.19%0.14%0.03%0.16%0.14%0.08%0.16%
NZD0.07%0.03%-0.08%0.05%0.07%-0.08%0.10%
CHF0.02%-0.07%-0.17%-0.00%-0.04%-0.16%-0.10%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

Author

Akhtar Faruqui

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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