- The DXY was unable to sustain Thursday’s bullish attempt at 93.80.
- Solid containment remains around 93.50 so far.
The U.S. dollar index (DXY) picks up on the downs after the recent failed attempt to revisit the 94.00 area (Thursday).
Now there is likely to be further consolidation amid the current price action. However, if sellers manage to drag the index lower than 93.50, then the DXY could be set for a deeper pullback to the 55-day SMA at 93.25 followed by late-September lows around 93.00 (low of the 23/24 September).
Looking at the bigger picture, the constructive stance on the index looks unchanged and remains above the 200 SMA at 91.87.
DXY day chart