USD Index Price Analysis: Positive outlook remains above the 200-day SMA
- The index comes under pressure and fades part of the recent advance.
- The underlying bullish view is underpinned by the 200-day SMA.
Sellers now put the recent upside momentum in DXY to the test and force it to return to the negative territory after three daily gains in a row on Wednesday.
In the meantime, the index manages to put some distance from the always relevant 200-day SMA, today at 105.47.
A drop below this region is expected to shift the outlook to negative and at thus allow for losses to accelerate to, initially, the August low at 104.63 (August 10).
