USD Index Price Analysis: A challenge of 100.00 looms closer
- The index remains well under pressure following the FOMC meeting.
- There is interim support near 100.80 so far, or 10-month lows.
DXY comes under extra selling pressure in the wake of the Fed’s decision on rates and retests the 100.80 region, or multi-month lows on Thursday.
In the near term, further losses appear in the pipeline while below the 3-month resistance line near 102.45. If the index manages to clear this region it could accelerate gains to the provisional 55-day SMA, today at 104.02.
Below this line, the dollar is expected to keep the short-term bearish bias unchanged and with the immediate target at the psychological 100.00 support.
In the longer run, while below the 200-day SMA at 106.45, the outlook for the index remains negative.
DXY daily chart
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.
