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US Dollar Index Price Forecast: Treads water above 99.00 near nine-day EMA barrier

  • The US Dollar may target its initial support at 97.91, the lowest level since March 2022.
  • Technical analysis suggests a prevailing bearish bias as the RSI remains below the 50 level.
  • The nine-day EMA at 99.38 appears as the immediate barrier.

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is edging lower after registering over 0.5% gains in the previous session and trading around 99.20 during the Asian hours on Wednesday.

On the daily chart, technical analysis suggested a persistent bearish bias, with the index consolidating within a descending channel pattern. The DXY remains below the nine-day Exponential Moving Average (EMA), indicating that short-term momentum is weaker. Additionally, the 14-day Relative Strength Index (RSI) is positioned below the 50 level, indicating the prevailing bearish bias.

On the downside, the DXY could navigate the area around 97.91, the lowest level since March 2022, which was recorded on April 21, aligned with the lower boundary of the descending channel around 97.80.

The US Dollar Index may target the immediate barrier at the nine-day EMA of 99.39, followed by the descending channel’s upper boundary around 100.30. A breach above this crucial resistance zone could cause the emergence of the bullish bias and lead the index to test the 50-day EMA at the 100.81 level. Further advances would reinforce the short-term price momentum and prompt the DXY to explore the region around the three-month high at 104.37, reached on April 1.

US Dollar Index: Daily Chart

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 New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.03%-0.02%0.06%-0.02%-0.03%-0.06%-0.04%
EUR0.03%-0.01%0.07%0.00%0.00%-0.04%-0.02%
GBP0.02%0.00%0.02%0.00%0.01%-0.03%-0.01%
JPY-0.06%-0.07%-0.02%-0.05%-0.13%-0.05%-0.06%
CAD0.02%-0.01%-0.00%0.05%-0.01%-0.05%-0.03%
AUD0.03%-0.00%-0.01%0.13%0.01%-0.04%-0.02%
NZD0.06%0.04%0.03%0.05%0.05%0.04%0.02%
CHF0.04%0.02%0.01%0.06%0.03%0.02%-0.02%

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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