Another visit to 107.00 appears in the pipeline

  • DXY adds to Wednesday’s pullback and recedes to 106.50.
  • Another test of the 2023 peak remains in store near term.

DXY deflates to the 106.50 zone, where it meets some decent contention so far on Thursday.

Considering the ongoing price action, extra gains appear likely in the dollar for the time being. Once the index clears the 2023 top of 107.34 (October 3), it could encourage bulls to challenge the weekly peak at 107.99 (November 21 2022) just ahead of the round level at 108.00.

In the meantime, while above the key 200-day SMA, today at 103.14, the outlook for the index is expected to remain constructive.

DXY daily chart

 

Source: https://www.fxstreet.com/news/usd-index-price-analysis-another-visit-to-10700-appears-in-the-pipeline-202310051321