US Dollar Index Price Analysis: DXY snaps four-day declines but bears stay hopeful

• DXY extends rebound from eight-day low to refresh intraday top.
• Sustained trading below 10-DMA, bear cross on MACD favor sellers.
• Weekly resistance line, 96.65 level add to the upside filters.

US Dollar Index (DXY) prints mild gains at 96.00 as greenback bears take a breather during early Wednesday. That said, the DXY dropped during the last four days to refresh a one-week low before bouncing off 95.55.

The recovery moves, however, remain below the short-term resistances and the MACD signals also keep buyers away.

Hence, DXY sellers can aim for a fresh weekly low around 95.55 before an ascending support line from October 29, near 95.12, challenges the quote’s further weakness.

Should the greenback gauge drop below 95.12, the 95.00 threshold and October’s high of 94.56 will entertain the DXY bears before directing them to a three-month-old support line, close to 94.10 at the latest.

Meanwhile, 10-DMA and one-week-long resistance line, respectively around 96.22 and 96.56, restrict short-term rebound of the US Dollar Index ahead of a short-term horizontal line near 96.65.

During the quote’s run-up beyond the 96.65 hurdle, the latest multi-month high near 96.95 and the 97.00 round figure will lure the DXY bull.

DXY: Daily chart

Trend: Further weakness expected