- The DXY adds to Tuesday’s bearishness and breaks 107.00.
- Further weakness could send the index falling to the 105.30 area.
The US Dollar Index (DXY) remains bid and briefly tests the 106.80 zone, or three-day low, on Wednesday.
Should the selling pressure pick up, the dollar could give up more ground and challenge the November low at 105.34 (15 Nov). This area of ​​contention appears to be underpinned by the proximity of the ever-relevant 200 SMA, today at 105.22.
As long as it is above the 200 SMA, the outlook for the index should remain constructive.
DXY day chart
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
