Bulls in the DXY take a break at early April high amid a four-day rise.
The immediate upside is guarded by a 23.6 percent Fibonacci retracement, while a three-week-old support line becomes the key.
Beyond the 200-day moving average, bulls remain optimistic, and an ascending trend line from May adds to the upward potential.
During early Thursday, the US dollar index (DXY) fell from an intraday high of 92.38 to 92.38, remaining near the three-month high.
The USD index soared to its highest level since April 06 the day before, but overbought RSI conditions appear to be limiting immediate upside near 92.45, where the 23.6 percent Fibonacci retracement of the January-March rally is located.
It should be highlighted, however, that the DXY bears are unlikely to be serious unless the price remains above an ascending support line from June 11, at 92.14.
The 92.00 threshold and 200-DMA near 91.45 are also important bearish levels.
A two-month-long resistance line around 92.65 and the 93.00 round-figure before the yearly peak of 93.45, on the other hand, will cast doubt on a clear break of the immediate Fibonacci retracement level near 92.45.
DXY is still on the bull’s radar, but an intermediate retreat isn’t out of the question.
Pullback is projected as a trend./n
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