US Dollar Index Price Analysis: Further decline remains on the table

  • DXY meets contention in the vicinity of 91.80 on Thursday.
  • Immediately to the downside emerges the YTD lows at 91.74.

DXY survives around the 8-month support line in the 92.00 area and so far manages to bounce off earlier lows in the 91.85/80 band.

The outlook for the index stays bearish, in the meantime, leaving the door open to a deeper pullback to, initially, the 2020 low at 91.74 (September 1) ahead of the April 2018 lows near 89.20.

In the near-term, the selling pressure is seen mitigating somewhat above weekly highs at 93.20 (November 11). However, as long as DXY trades below the 200-day SMA, today at 96.06, the negative view is forecast to persist.

DXY daily chart

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