US Dollar Index Price Analysis: Extra Downside Looks Likely

Editor • May 11, 2021 at 7:24 AM EDT

The index remains well under pressure near 90.00. Losses are seen accelerating on a breach of 90.00.

DXY fades Monday’s modest uptick and keeps hovering around the psychological support near 90.00 for the time being.

Dollar, Money, Cash Money, Business, Currency, Finances

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A decent breakdown of the 90.00 mark should allow for a move to the February’s low at 89.68. A deeper pullback is expected to put the YTD lows at 89.20 (January 6) back on the radar.

In the meantime, and looking at the broader scenario, while below the 200-day SMA, today at 91.88, the outlook for the buck is forecast to remain negative.

DXY daily chart

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Dollar Index Spot

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