USD Index Price Analysis: Further gains in store near term

DXY maintains the weekly bounce well in place on Wednesday.
Further advance is expected to challenge the 103.00 zone.

Pablo Piovano FXStreet

DXY advances for the fourth session in a row and retests weekly highs around 102.70 on Wednesday.

Immediately to the upside, the index faces the next hurdle at the 103.00 round level, which appears reinforced by the proximity of the temporary 100-day SMA. The index could see its downside pressure mitigated once this area is cleared on a convincing fashion.

Looking at the broader picture, while below the 200-day SMA at 105.18 the outlook for the index is expected to remain negative.

DXY daily chart

Dollar Index Spot

Overview
Today last price	102.68
Today Daily Change	21
Today Daily Change %	0.14
Today daily open	102.54

Trends
Daily SMA20	103.55
Daily SMA50	102.62
Daily SMA100	103.06
Daily SMA200	104.94

Levels
Previous Daily High	102.79
Previous Daily Low	102.32
Previous Weekly High	103.76
Previous Weekly Low	102.01
Previous Monthly High	104.7
Previous Monthly Low	101.03
Daily Fibonacci 38.2%	102.61
Daily Fibonacci 61.8%	102.5
Daily Pivot Point S1	102.31
Daily Pivot Point S2	102.08
Daily Pivot Point S3	101.84
Daily Pivot Point R1	102.78
Daily Pivot Point R2	103.02
Daily Pivot Point R3	103.25

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.