- Dollar index risks deeper drop below 200-day MA.
- That long-term average served as strong support in the last five months.
Dollar Index (DXY) is currently trading just below the 200-day moving average (MA) at 96.56.
The index has defended the long-term average on a daily close basis at least four times in the last five months.
Therefore, the 200-day average is a key support. A daily close lower will likely invite stronger selling pressure, leading to a deeper drop to 95.74 (March low).
On the higher side, 97.77 (June 18 high) is the level to beat for the bulls. A daily close above that level would invalidate bearish lower highs pattern.
Daily chart
Trend: Bearish below 200-day MA
Technical Levels
Share
