DXY is approaching the downside support line
DXY is testing a heavy downside support confluence 91-91.50 zone. A confirmed break above 91.50 is required for an upside reversal and continuation higher. A rejection here and a break below 90 could lead to a continuation lower. The overall medium-term is a downtrend but we need to see a confirmation break below 89 for an extension lower. As long as the DXY is below 92 there is a high probability that it will have downside continuation.
Note – We are inclined to short trade entries on a break below 90.
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