It remains stable around 94.25, despite the decline in US Treasury yields.

• The US Dollar Index touched a new 2021 high at 94.62 on the better-than-expected US NFP report.
• US 10-year Treasury yields fall nearly seven basis points, undermining the USD.
• DXY: A break above 94.62 would open the door to 95.00.

The US Dollar Index, also known as DXY, measures the performance of the USD against a basket of six pairs, which collapsed during the American session, with a fall of 0.07%, standing at 94.26% at the time of writing.

The better-than-expected US non-farm payroll report showed the US economy added 531,000 new jobs, up from 425,000 expected, initially pushing the US dollar index to new yearly highs, around 94.62. However, US Treasury yields are falling, with the 10-year yield falling nearly seven basis points to 1,458% for the first time since October 4.

US Dollar Index Price Forecast: Technical Outlook

The daily chart shows the upward bias of the US dollar, as the daily moving averages (DMA) remain well below the price, with an upward slope. It is worth noting that even though the USD is weaker on the day, it remains above the November 1 high of 94.31, which if it closed above it, would keep the USD bulls in range. of another test of the maximums of the year 2021.

Furthermore, Andrew Pitchfork’s indicator tool shows that the US dollar has been comfortably trending up in the lower range of the channel at risk of a downside breakout.

If the USD bulls want to accelerate the uptrend, they will need a break above 94.60. In that result, the next resistance area would be 95.00. On the other hand, a break below 94.00 would push the DXY towards the 50-day moving average at 93.48.