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US Dollar Index Price Analysis: Immediately to the upside comes 96.43

  • DXY regains the smile amidst renewed risk aversion.
  • The weekly high around 96.40 emerges as the next up barrier.

DXY reverses two consecutive daily pullbacks and looks to reclaim the area above the 96.00 barrier on Thursday.

If the recovery gathers steam, then the index is expected to challenge the weekly tops at 96.43 (February 14), which is considered the last defence before an assault to the YTD high near 97.50 (January 28).

In the meantime, further gains in DXY looks likely as long as the 5-month line near 95.30 holds the downside.

In the longer run, the outlook for the dollar is seen as positive above the 200-day SMA at 93.70.

DXY daily chart

 

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