- DXY reverses sharply after two consecutive daily pullbacks.
- Further dollar bounce points to 2022 high near 104.00.
The US Dollar Index (DXY) quickly leaves recent weakness behind, including the post-FOMC low near 102.30, and refocuses on the upper end of the recent range.
That said, if the bounce accelerates, then the index could challenge the 19-year high just below the 104.00 high (April 28), while breaking above it could open the door to 105.63 (11 Apr high). December 2002).
The index’s current bullish stance remains supported by the 8-month line at the 96.85/90 area, while the long-term outlook for the dollar looks constructive as long as it is above the 200-day SMA at 95.92. .
DXY day chart
Source: Fx Street
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