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The dollar index, which tracks the greenback’s value against major currencies, has carved out an inverse head-and-shoulders pattern on the daily chart. 

Tne neckline resistance is currently seen at 90.92. A close higher would confirm a breakout or bearish-to-bullish trend change, creating room for a rally to at least 92.63 (target as per the measured move method). 

On the downside, the low of the right shoulder – 90.045 – is the level to beat for the sellers. 

At press time, the DXY is trading moderately higher on the day near 90.75. 

Daily chart

Trend: Bullish above 90.92

Technical levels