US Dollar Index Price Analysis: DXY bears need acceptance below 93.30
29.10.2021, 01:35

US Dollar Index Price Analysis: DXY bears need acceptance below 93.30

  • DXY remains sidelined following the heaviest decline in two weeks.
  • 50-DMA, five-month-old support line challenges further downside.
  • Rebound will aim for 93.50 regain, short-term resistance line will be the key to watch afterward.
  • 100-DMA acts as an additional downside filter below 92.30.

US Dollar Index (DXY) treads water around 93.35 during early Friday, having dropped the most in 12 days the previous day.

Although a clear break of 93.50 horizontal support, now resistance, keeps the DXY sellers hopeful amid bearish MACD signals, 50-DMA and an ascending trend line from late May question further declines.

Hence, the quote need not only break the 50-DMA support of 93.35 but also conquer the stated support line figure of 93.30 to extend the latest weakness.

Following that, the 93.00 threshold and the 100-DMA level near 92.85 will entertain the US Dollar Index bears.

Meanwhile, the corrective pullback may target the previous support around 93.50 but a descending trend line resistance from October 12, close to 93.90, will be a tough nut to crack for the DXY bulls.

In a case where the quote rises past 93.90, the 94.00 round figure will hold the gate for the further price rally targeting the monthly high near 94.55.

DXY: Daily chart

Trend: Further weakness expected

 

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