Technical pressure pushes the US Dollar Index toward a critical support zone after failing to hold above its 100-period SMA.
The US Dollar Index (DXY) retreated to around 100.80 during early European trading, erasing earlier gains and testing the 23.6% Fibonacci retracement of its May-June rally. Sellers stepped in after the index failed to sustain levels above the 100-period Simple Moving Average on the 4-hour chart, signaling weak upside momentum.
The Relative Strength Index (RSI) at 46.66 remains just below neutral, while the MACD shows only slight positive bias near the zero line. Analysts note that a decisive break below 100.80 could open the door for further declines toward the 38.2% retracement at 100.20. Resistance is seen at 101.12, with a break above 101.79 needed to shift the near-term bias higher.