- DXY comes under pressure after hitting new cycle highs.
- Immediately on the upside comes the 100.00 mark.
The US Dollar Index (DXY) is facing some downward pressure shortly after posting new highs in the 99.80/85 band, levels last seen in May 2020.
Despite the current sharp rally, the price action around the index continues to suggest more upside in the very short term. That said, the next major hurdle now emerges at the psychological 100.00 zone followed by the May 2020 high at 100.55.
The current bullish stance in the index remains supported by the 6-month line near 96.30, while the long-term outlook for the dollar looks constructive to remain above the 200 SMA at 95.01.
DXY day chart
Source: Fx Street
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